Copper and aluminium prices ticked up on Tuesday, supported by China’s announcement to cut tax for manufacturers from next month to boost growth in the world’s second-largest economy.
“Sentiment was largely constructive as investors continued to view China’s latest policy moves as positive for metals demand,” ANZ said in a note on Tuesday.
China will cut value-added tax for manufacturing and other sectors on April 1, Premier Li Keqiang said on Friday, adding that cuts in taxes and fees remained a key measure to cope with downward pressure on its economy.
- Three-month copper on the London Metal Exchange rose 0.3 percent to $6,440.5 a tonne by 0122 GMT, while the most-traded copper contract on the Shanghai Futures Exchange edged up 0.1 percent to 49,260 yuan a tonne.
- Aluminium and nickel contracts ticked up on both London and Shanghai exchanges, with the three-month London aluminium hovering near an over-two-week high level.
- China by mid-year will slash the time needed to obtain approvals for construction projects as part of a push for growth, the country’s housing ministry said on Monday.