Copper futures gained more than 3 percent in value on Friday, climbing to their highest price in one week, according to published reports.
The industrial metal benefited from strong U.S. employment data released on Friday by the country's Department of Labor, which fueled sentiment about a healthy recovery of the globe's largest economic system, according to Reuters.
With uses in manufacturing, industry, power and construction, the reddish metal is sensitive to economic and financial developments and of keen interest to commodity investors so the strong economic data helped push the base metal to prices of $8,586.75 per metric ton.
The U.S. Department of Labor on Friday released its weekly report, which stated January saw the U.S. economy create jobs more quickly than any time in the past nine months. The U.S. jobless rate dropped to 8.3 percent, the lowest unemployment rate since February 2009.
Also benefiting the reddish metal was data indicating the pace of growth in the services sector of the U.S. moved quickly enough during the month of January that it approached its most rapid pace in almost 12 months, Reuters reports.
Copper futures also gained as a result of the shared currency of the European Union losing value in response to the U.S. Department of Labor releasing its jobs reports.
Investor and analysts' eyes also are closely following China, host of the globe's second biggest economy. Also the world's largest consumer of the reddish metal, China's economy is the globe's most rapidly developing economy so its activity regarding construction and industry has a strong impact on the price of the industrial metal.
"This was a knee-jerk reaction but we need the dust to settle a bit and to get a bit more clarity about what is happening in China," analyst Edward Meir with INTL FCStone told Reuters. "The outlook for China is much more important (for the metals market). The fact that premiums there are softening and there has been a big buildup in stock is more of a concern to the market."
At 2:58 p.m. on Friday, copper futures increased 3.25 percent, a 12.3 cent increase to $3.904 per pound.
Dow Jones Newswires reports the top price thus far this year for copper futures is $3.939 per pound, which was established one week ago.
The Labor Department report was beneficial to the industrial metal because of its use in items such as laptops, automobiles and air conditioners, all of which are more likely to be purchased by people who are employed.
"Today's report is likely to give equities, industrial-metals prices, and oil prices a nice boost," president Jason Schenker with Prestige Economics told Dow Jones Newswires on Friday.
Thus far this year, copper futures have increased 10 percent in value, which begins offsetting the 23 percent drop that the industrial metal endured last year, according to MarketWatch.
Last year's losses were partially attributable to the damaging tendencies of the sovereign debt crisis, which prompted a reduced demand for the industrial metal.
"Responding to the sovereign debt crisis in Europe and slowing growth in China, investors took a risk-off posture in the latter part of 2011," editor Sam Subramanian with AlphaProfit Mutual Fund and ETF Newsletters told MarketWatch. "This has changed 180 degrees in the new year. The 'euro-geddon' situation has receded to the back burner, at least in the near term as the bank lending facility in Europe appears to be working."
He noted the strong data from the U.S. is doing its part to drive up the price of copper, additional metals and other assets that are economically sensitive.
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