Ahead of the report, some investors are locking in profits on bets against the industrial metal, according to Bart Melek, head of commodity strategy at TD Securities. "There is a school of thought that says there may have been too much of a correction," Mr Melek said. "Copper views went from being extremely negative earlier this year to overly positive, and we have probably adjusted to being just right.
Copper prices have notched their biggest daily gain of the year, as optimistic comments from a major commodities trading house spurred investors to buy the metal ahead of key manufacturing data from China.
The comments from Glencore "lent much needed credibility to recent prognostications about improving fundamentals," Michael Turek, director of metals at Newedge, said. "Demand, as evidenced by recent (US) housing and auto data, seems solid while fractured supply is starting to be felt.
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