Copper Sees Modest Gain as Dollar Weakens and China Supplies Tighten

Copper prices edged higher on Friday, bolstered by a weaker US dollar and tight supplies in China. The London Metal Exchange's benchmark three-month copper price rose 0.2% to $14,645 a metric ton, up 0.8% from last week's close.

The market has been influenced by bond markets, which have been impacted by inflation concerns fueled by rising energy prices. Despite this, some analysts believe demand for base metals may surprise on the upside rather than the downside.

Nitesh Shah, commodity strategist at WisdomTree, noted that 'some of those pressure points that we had in the last few days are coming off a bit today.' However, trading volumes were lighter due to the Shanghai Futures Exchange's closure for a holiday.