METALS-Copper set for weekly gain on optimism around demand, growth

- Copper was poised to register a weekly gain on Friday, the first week of trading week after China's nine-day Lunar New Year break, supported by demand and growth optimism.

The most-active copper contract on the Shanghai Futures Exchange SCFcv1 nudged 0.12% upward to 102,820 yuan ($14,992.27) a metric ton as of 0245 GMT, and is poised to end the week higher.

The benchmark three-month copper on the London Metal Exchange CMCU3 also ticked 0.12% up to $13,320.50 a ton, set to end the week up by 2.77%.

The red metal has had an eventful week. While optimism towards demand and growth dominated the mood - following the U.S. Supreme Court ruling against President Donald Trump's reciprocal tariffs and the Chinese market's reopening - this was later tempered by rising stocks globally.

Demand is projected to pick up in the Chinese market, as the Yangshan premium SMM-CUYP-CN, a gauge of China's appetite for imported copper, jumped above $50 a ton after the Lunar New Year break, compared with $33 before the holiday.

The ruling against Trump's global tariffs also reduced immediate risks to global trade flows and industrial demand.

Copper's rising stock level globally remained a pressure point. Stocks in LME's warehouses MCUSTX-TOTAL rose to 253,600 tons, up nearly 80% from January 12 when the stock level began to pick up.

Copper is also facing technical resistance at $13,500 level, which capped rallies repeatedly in February, analysts at Sucden Financial said.

Elsewhere among base metals, tin made a strong return after the Lunar New Year break on supply side concerns provoked by Indonesia's plan to ban the export of several raw materials, including tin.

The Shanghai most-active tin SSNcv1 surged 3.56% to 432,480 yuan a ton, while set to post a 13.51% weekly gain.

The benchmark three-month tin CMSN3, while adding 1.62% to $55,315 a ton, is poised to soar 18.81% this week.

Among other SHFE metals, aluminium SAFcv1 dropped 0.69%, zinc SZNcv1 nudged 0.06% lower, nickel SNIcv1 tumbled 0.83%, and lead SPBcv1 added 0.21%.

Elsewhere on the LME, aluminium CMAL3, zinc CMZN3 and lead CMPB3 all posted a 0.30% drop, while nickel CMNI3 added 0.57%.


Friday, Feb 27

DATA/EVENTS (GMT)

0745 France GDP QQ Final Q4

0745 France CPI (EU Norm) Prelim MM, YY Feb

0745 France CPI Prelim YY, MM NSA Feb

0745 France Producer Prices YY Jan

0855 Germany Unemployment Chg, Rate SA Feb

1100 France Unemp Class-A SA Jan

1300 Germany CPI Prelim YY Feb

1300 Germany HICP Prelim YY Feb

1330 US PPI Machine Manuf'ing Jan


($1 = 6.8582 Chinese yuan renminbi)