Copper jumps on US home sales data

Copper prices were up Monday on signs that the economy is healing after the National Association of Realtors said that existing home sales jumped 6.5 percent in December over sales in December 2007 instead of declining as had been expected.

The home sales numbers created optimism that demand for copper in construction will increase even though existing home sales for the full year dropped 13 percent, according to the report.

March copper added 11 cents to $1.59 per pound in New York, while three-month copper gained $289 to $3,540 per tonne on the London Metal Exchange.

Precious metals prices were also up, with gold seeing gains on the chance that proposed government spending programs will raise inflation, creating demand as investors look for safe places to put their cash.

April gold added $12.30 to $901 per troy ounce in New York, while March silver was up 18 cents to $12.12 per troy ounce and April platinum gained $15.90 to $973.90 per troy ounce.