Base metals follow precious metals higher

Base metals prices were higher on Monday after gold prices soared again on a US dollar that weakened again in relation to all major currencies.

The decline in the dollar made metals a more attractive for buyers who use other currencies.

However, concerns still continued that an declines in the US economy could affect the global economy and hurt demand for copper, but the possibility of a tightening of supplies if China imposes a value added tax on scrap recyclers helped prices run higher.

March copper added 4 cents to $3.34 per pound in New York, while three-month copper on the London  Metal Exchange ended the session $100 higher to $7,400 per tonne, a gain of 1.4 percent on the day.

Elsewhere, zinc added $6 to $2,396 per tonne while aluminium was up $34 to $2,548 per tonne and lead gained $105 to $2,735.

Nickel jumped $650 per tonne to $29,300 per tonne.