Copper up

hot now

Melbourne

London copper edged higher on Tuesday on support from a softer U.S. dollar, but the metal was still hanging near six-week lows as swelling supply kept a tight lid on its price prospects.

The dollar eased against a basket of currencies ahead of this week's U.S.

Federal Reserve meet in Jackson Hole, Wyoming, with opinions mixed on whether officials will make a clear case for an interest rate hike this year.

The dollar edged back towards its lowest since June, cushioning metals by making dollar-priced commodities more affordable for buyers paying with other currencies.

"Today's Asian session has seen some profit-taking (on short positions) after yesterday´s falls, no doubt triggered by the USD," said Kingdom Futures in a note. "Once this has stopped, downward pressure could well resume."  Volumes were light, reflecting quiet trade with the Northern Hemisphere in the midst of summer holidays.