(Nov 2): Copper rebounded from its lowest close in a week as a rout in technology stocks subsided and oil prices pulled back, easing fears around global growth.

The metal rose 0.5% to US$14,229.50 a tonne on the London Metal Exchange at 12.37pm Shanghai time (same time as Malaysia), after sliding 1.4% on Friday to close out a third weekly decline.

Most Asian stocks rose along with US equity futures as investors rediscovered their risk appetite on Monday while crude oil fell on a report that US President Donald Trump will give diplomacy more time before deciding whether to renew strikes against Iran after Tuesday’s midterm elections.

Copper has traded in a relatively narrow range near US$14,500 in the past two months, with investors tracking uncertainties on a number of fronts, including the sustainability of artificial intelligence spending, the prospects of US import tariffs on refined copper and the risk of military escalation in the Middle East.

The metal is also finding some support from growing signs of supply constraints at mines. Chile’s output sank to its lowest for at least two decades in the last quarter and the country is forecasting only a modest recovery next year.

Copper has a structural supply challenge that “keeps price risk firmly skewed to the upside as long as global growth remains resilient”, Jefferies Financial Group analysts wrote in a note.

Other metals were mixed, with aluminium down 0.5%, zinc flat and nickel up 1.3%.

Uploaded by Arion Yeow