Most metals up as gold hits another record

Most metals prices were higher Wednesday as gold hit yet another new record high and copper gained even though stockpiles at London Metal Exchange-monitored warehouses grew again.

December gold added $12 to $1,114.50 per troy ounce in New York trade on hopes that the economy, at least in Asia, is growing, after December contracts hit a new high at $1,118.60 per troy ounce in electronic trade earlier in the day.

Some of the gain was given back, however, after the US dollar strengthened after falling to its lowest level in a year and a quarter.

Other precious metals also saw gains as December silver was up 32 cents to $17.55 per troy ounce and January platinum gained $18.40 to $1,369.60 per troy ounce.

December copper traded about even in New York, adding less than a cent to $2.97 per pound, while in London three-month copper added $10 to $6,540 per tonne after going as high as $6,660 per tonne earlier in the session on indications of strengthening demand from China as data showed that industrial production was up there in October.

Prices for copper were also helped by higher machinery orders in Japan and on supply concerns as the strike at the Spence mine in Chile continued and a strike vote was scheduled for copper miners in Peru for later in the day.

However, another gain in LME inventories, which added 3,175 tonnes during the session, indicated that demand for the metal used in manufacturing and construction is still week outside of China.

While aluminium remained untraded at the close in London, last bids for the metal were up $10.50 to $1,970 per tonne even though stockpiles grew by over 7,000 tonnes during the day, while lead added $16.50 to $2,184 per tonne, zinc was up $23 to $2,184 per tonne, and nickel gained $25 to $16,850 per tonne.

Tin was the exception to gains as it dropped $100 to $14,725 per tonne on the session.