Copper rose to a four-month high in London, leading a rally in industrial metals, on speculation the Federal Reserve’s plan to buy $300 billion of government bonds will revive growth in the world’s largest economy. The U.S. is the second-largest copper and aluminum consumer after China. The Fed’s plan also caused the dollar to weaken, making dollar-denominated commodities cheaper for those holding other currencies. “All markets are significantly higher, largely because of the impact of the Fed announcement last night, and the dollar is very weak,” Alex Heath, head of industrial metals trading at RBC Capital Markets in London, said today by phone. Copper for three-month delivery rose $174, or 4.6 percent, to $3,930 a metric ton as of 9:17 a.m. in London. The contract earlier reached $3,945, the highest compared with intraday prices since Nov. 10. The metal has risen 28 percent this year, after plunging 54 percent last year. The trade-weighted Dollar Index, which tracks the currency’s performance against the euro, yen, pound, Canadian dollar, Swiss franc and Swedish krona, tumbled 2.7 percent yesterday, the steepest drop since 1971. Copper inventories in warehouses monitored by the LME fell 0.3 percent to 493,450 tons, extending their decline since Feb. 25 to about 10 percent. Aluminum for three-month delivery gained $54, or 3.8 percent, to $1,434 a ton. Earlier it reached $1,434, the highest intraday price since Feb. 10. LME-monitored stockpiles of the metal climbed to a record 3.45 million tons and have more than tripled in the past year. Nickel rose 1.8 percent to $10,050 a ton. Lead advanced $41, or 3.2 percent, to $1,331 a ton, after gaining 33 percent this year. Zinc gained 3.2 percent to $1,228.5 a ton and tin rose 1.5 percent to $10,025.

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