An emphasis on diplomatic efforts to deal with Syria also was beneficial to the reddish metal during the Wednesday trade session. The Middle Eastern nation allegedly killed more than 1,400 of its nationals after deploying sarin gas near Damascus on August 21, and U.S. President Barack Obama has sought to launch a military strike against the nation.
But on Tuesday night, the U.S. leader told a nationally televised audience that resolving the matter is preferable via diplomatic measures. Concerns were high that the ongoing civil war in the nation would intensify and the conflict would spillover into other nations in the area.
"Investors seem to be placing the Syrian issue on the back-burner for the time being," analyst Edward Meir with INTL FCStone told The Wall Street Journal on Wednesday.
At 10:34 a.m. on Wednesday, copper futures rose 0.31 percent, a 0.01-cent lift to $3.2725 per pound.
Focus on Chinese data
With a brighter optimism about negotiations ensuing in Syria, investors and analysts focused attention on industrial data released by China. The Asian nation is the globe's top consumer of the reddish metal and host of the world's second-largest economy.
The metal is sensitive to worldwide economic and financial developments due to its myriad uses in construction, manufacturing and additional industry.
China last month generated its top industrial production in 15 months, according to data released Tuesday by the National Statistics Bureau.
Bloomberg reports worldwide investment houses also recognize the uptick in China. Many banks are upgrading their growth estimates.
UBS AG noted that the Asian nation's economy will develop 7.6 percent this year, which pushes past its former projection of 7.5 percent growth. Deutsche Bank AG also enhanced its projections for this quarter and subsequent ones.
"People are starting to get more positive on China, which clearly implies stronger demand for commodities," states a Wednesday email authored by commodities research head Nic Brown with Natixis SA in London, according to Bloomberg. "Industrial production surprised on the upside."
The Goldman Sachs Group said that the Asian nation is poised to demonstrate growth that is strong – yet not excessive.
"Our base-case outlook remains for solid but unspectacular global copper demand growth," states a report authored by analysts with Goldman Sachs Group Inc., according to Bloomberg.
Questions regarding Fed stimulus policy
But those advances might be stunted as soon as next week, when the policy-making arm of the U.S. Federal Reserve convenes two days of meetings. At issue is the status of economy-spurring stimulus measures, and speculation is rampant that the Fed will slash the program.
Reuters reports an air of uncertainty is abounding regarding what the Federal Open Market Committee will do when it meets on Tuesday and Wednesday of next week.
The U.S. last week released underwhelming labor market data, which is likely to play a role in policy makers' decision-making process, according to Reuters.
Supplies of the reddish metal tend to be high at this time, which is likely to temper any gains that the industrial metal will make in the near term.
"inventories are fairly high, so until you start to see an inventory shortfall as well as a pickup in demand, it's hard to make the case for copper to go higher than where we are now," analyst Michael Hewson with CMC Markets told Reuters on Wednesday.
Since scraping its lowest value in 36 months this past June, the base metal has surged more than 8 percent. But, despite those gains, copper futures are still down roughly 9 percent on the year.
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