Metals traded predominantly higher on the London Metals Exchange on Monday, buoyed by a weaker dollar; however, trade-related uncertainties surrounding U.S. tariffs limited potential gains. As of 0750 GMT, benchmark three-month copper saw a modest increase of 0.3%, reaching $9,810 per metric ton. The U.S. dollar remained near a five-month low, influenced by the unpredictable trade policies of President Donald Trump.
A declining dollar generally makes commodities priced in dollars more affordable for buyers using other currencies, which supports demand. According to Shanghai Metals Market (SMM), this low dollar index provides a cushion for copper prices, suggesting they are likely to stabilize at current levels for the day. President Trump reiterated on Monday that he does not plan to exempt any products from steel and aluminum tariffs, announcing that reciprocal and sectoral tariffs would take effect on April 2.
This announcement has contributed to market jitters, affecting overall trading sentiment. In other commodities, LME aluminum rose by 0.4%, reaching $2,691 per ton, while lead gained 0.7% to $2,083.5. Conversely, zinc saw a slight decline of 0.1% to $2,968.5.
Tin increased by 0.5% to $35,500 and nickel advanced by 1.2% to $16,665. On the Shanghai Futures Exchange (SHFE), copper also saw gains, rising 0.6% to 80,520 yuan ($11,120.63) per metric ton. SHFE aluminum dipped slightly by 0.3% to 20,925 yuan, whereas zinc rose by 0.3% to 24,205 yuan.
Lead jumped by 0.1% to 17,635 yuan, tin gained 0.3% to 283,520 yuan, and nickel rose by 0.1% to 133,900 yuan.