Copper prices stabilize following Chinese data

Copper prices gained modest ground on Monday as markets pause to conduct proper inventory after the recent surge, with prices underpinned by a weaker dollar.

Chinese copper smelters reached a rare agreement to cut production, which helped underpin prices to 11-month highs at $9,098 at the London Metals Exchange. 

Copper prices at the Shanghai Futures Exchange hit a record high of 73440 yuan earlier on Monday.

The wide spread gains helped copper pierce the $9000 barrier at the London Metals Exchange, in response to the unique Chinese smelter agreement.

Additionally, earlier Chinese data showed industrial production rallied by 7% in January, the fastest such pace in two years, above estimates of 5%. 

However, China is still facing a real estate crisis that continues to pose threats and concerns for industrial metals traders and producers. 

Prices are also boosted by a weaker dollar, which made dollar-denominated metals futures cheaper to holders of other currencies. 

Otherwise aluminum fell 0.1% to $2272, while zinc stabilized at $2561, as lead fell 0.4% to $2121, while tin declined 0.7% to $28465. 

The dollar index rose 0.15% to 103.5 as of 17:07 GMT, with a session-high at 103.6, and a low at 103.3.

Copper May futures stabilized at $4.12 a pound as of 17:01 GMT in American trade.