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2010.10.1501:06:00UTC+00Rally in Base Metals Slows on Modest Gains in the Dollar

News:

  • London Metal Exchange copper for delivery in three months rose $8 to $8,408 a tonne by 0304 GMT
  • Third-month Shanghai copper fell 0.6 pct to 63,380 yuan
  • Aluminium rose $5 to $2,415 after hitting its highest since April at $2,459 in the previous session
  • Tin fell $145 at $26,805, after an all-time high of $27,338.50 struck Thursday

Quotes:

  • "You can't call this a pullback, it's hardly even a pause. The weak dollar trend is here for the longer haul, and it's only going to support the powerful fundamental story," - dealer in Singapore
  • "A much weaker U.S. dollar helped copper prices higher (Thursday). While the hope for further easing by the Fed has been fuelling this rally." - brokerage Triland Metals

Background:

  • Dollar arrested early losses against a basket of major currencies on Friday on expectations the Fed will launch more QE to stimulate the U.S. economy

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