Investing.com - Copper futures jumped to a three-week high on Monday, amid concerns over supply cuts by mining giant Glencore (L:GLEN).
Copper for December delivery on the Comex division of the New York Mercantile Exchange hit an intraday peak of $2.435 a pound, the most since September 18, before trading at $2.434 during morning hours in London, up 2.0 cents, or 0.82%.
On Friday, copper surged 7.1 cents, or 3.03%, as fears of broader supply cuts by Glencore triggered a buying spree in industrial metals.
Switzerland-based Glencore said it would cut its annual zinc output by about 500,000 metric tons, the latest in a string of mine closures as the commodities group races to cut debt and shore up its balance sheet.
Last month, Glencore announced similar cuts to copper output, suspending operations at two copper mines in Africa for 18 months and removing about 500,000 metric tons of annual supply from the global market.
Elsewhere in metals trading, gold futures for December delivery rose rallied $8.70, or 0.75%, to trade at a seven-week peak of $1,164.60 an ounce amid expectations that the Federal Reserve will hold off on hiking interest rates until 2016.
A delay in raising interest rates would be seen as bullish for gold, as it decreases the relative cost of holding on to the metal, which doesn't offer investors any similar guaranteed payout.
Investors were looking to U.S. economic reports on retail sales and inflation later in the week for further indications on the possible direction of monetary policy.
The timing of a Fed rate hike has been a constant source of debate in the markets in recent months.
There will be no floor trading on the Comex on Monday because of the Columbus Day holiday in the U.S. All electronic transactions will be booked with Tuesday's trades for settlement.