Copper prices advanced for a third straight session on Monday, while aluminium rebounded from earlier losses, driven by a shift in market sentiment regarding US monetary policy.
The rally in industrial metals reflects growing investor confidence that the Federal Reserve is unlikely to pursue further interest rate hikes in the near term.
The price action underscores a broader repricing of risk assets as the dollar softened against the backdrop of diminishing hawkish expectations.
Aluminium, which had staged a recovery on Friday, continued its upward trajectory, supported by the same macroeconomic tailwinds that are lifting base metals.
The move suggests that traders are increasingly discounting the probability of an imminent rate increase, reducing the headwind on non-yielding commodities.
This development follows a period of volatility for precious metals, with gold and silver posting a reprieve earlier in the week after their worst quarterly performance in years.