MELBOURNE, Feb 12 (Reuters) - London copper rose from its lowest in nearly two months on Monday as the dollar dropped, although traders remained cautious about demand after the Lunar New Year holiday that starts this week. Chinese demand for metals and supply constraints should be
supportive in 2018, while recent price strength looks to be a function of global growth and demand, said Citi in a report. "(However) while we expect housing-related metals demand to
stay fairly robust, potential slowdown of power infrastructure and machinery spending appears worrisome," it said. FUNDAMENTALS: 
* LME COPPER: London Metal Exchange copper rose 1.6 percent to $6,863 a tonne by 0730 GMT, recouping losses from the previous session when it fell 1.3 percent to $6,733 a tonne, the
lowest since Dec. 14. Prices also crashed through the 100-day moving average, worsening copper's chart picture. * SHFE COPPER: Shanghai Futures Exchange copper
closed down 0.2 percent at 51,710 yuan ($8,202.47) a tonne, having hit its weakest since late September amid a decline in China's metals markets ahead of the Lunar New Year. Open
interest is at the highest in nearly two years. * HOLIDAYS: The Shanghai Futures Exchange will close from the evening of Feb. 14. "The physical market is pretty quiet now
leading up to (Lunar New Year). Premiums, onshore and offshore, aren't high by any means," one Shanghai-based copper trader said, expecting more positive sentiment after the holidays due
to perceived tightness later in the year. * DEMAND: U.S. President Donald Trump will roll out an infrastructure plan on Monday that already faces significant
hurdles in Congress because it does not offer as much new federal funding as Democrats want or directly address how to pay for the effort.
* U.S. ECONOMY: A surprise surge in U.S. wage growth has rocked global stock and bond markets in the past week, and inflation figures from three of the world's biggest economies
could dictate whether investors are in for another roller coaster ride in the coming week.
Cookie Consent Banner von Real Cookie Banner