Copper, gold rise on US housing data

The price of copper was higher Friday on good news about US new home sales, but other base metals were lower in London trade.

June contracts for copper had added 3 cents to $3.53 per pound in afternoon trade in New York, while three-month copper was up $33 in early afternoon trade in London, to $7,725 per tonne despite a 25 tonne rise in inventories in LME-monitored warehouses.

The gains for copper came as investors were willing to make riskier deals after a report showed that US home sales were up 26.9 percent in March, and after German business sentiment climbed by more than expected in April, to a two-year high.

Prices might have risen even more, except that investors are still concerned that China might have more copper than it needs after March imports there were up substantially.

The price of aluminium was down $3 to $2,317 per tonne in London as stockpiles fell but remained near record highs, while lead fell $4 to $2,306 per tonne, zinc was $5 lower to $2,413 per tonne, tin was down $50 to $18,900 per tonne and nickel dropped $166 to $26,929 per tonne.

Among precious metals, gold prices were helped by the same US housing data that sent copper higher, but not before it was down earlier on a Commerce Department report that US durable goods orders were down 1.3 percent in March.

In early afternoon trade, June gold was $10.60 higher to $1,153.50 per troy ounce in New York trade, while silver had added 19 cents to $18.23 per troy ounce.