Copper prices today, August 28, hit their highest level as the US dollar weakened.

Benchmark copper on the London Metal Exchange (LME) rose 1.1%.

Benchmark copper on the London Metal Exchange (LME) rose 1.1% to $9,389 a tonne, after hitting $9,418 at its highest since July 18.

The US Federal Reserve's interest rate cut will boost US growth and demand but will also put pressure on the country's currency, making dollar-priced metals cheaper for holders of other currencies.

Macroeconomic factors remain the main driver for copper, a metals trader said, adding that the drop in copper stocks in Shanghai shows Chinese demand is picking up.

Copper stocks in warehouses monitored by the Shanghai Futures Exchange (ShFE) have fallen 25% since early June to 251,062 tonnes, the lowest since March.

Also indicating stronger copper demand in China is the Yangshan premium, a closely watched indicator of Chinese import demand. The premium is currently around $53 a tonne, having fallen in July.

Traders said that a breach of the 50-day moving average around $9,380 also prompted some buying.

Elsewhere, expectations of tighter aluminium supplies have reduced the discount to the cash contract on the three-month contract to around $5 a tonne from $65 at the end of July.

Traders said the supply squeeze was particularly severe in October-November, turning the discount into a premium. Three-month aluminium fell 0.9% to $2,519 a tonne.

Meanwhile, zinc hit $2,940.50 a tonne, up 15% since Aug. 7 on supply concerns after 14 major smelters agreed to cut output to counter a profit-crushing drop in processing fees. Prices last rose 0.6% to $2,931.

Among other metals, lead fell 0.3% to $2,110 a tonne, tin rose 0.2% to $32,905 and nickel rose 1.4% to $16,990.

Source: https://kinhtedothi.vn/gia-kim-loai-dong-ngay-28-8-len-muc-cao-nhat-khi-dong-usd-yeu-hon.html