Copper advanced in London, buoyed by the biggest gain in Japan’s industrial output in 56 years, a decline in the dollar and shrinking stockpiles. Japan’s industrial production rose 5.2 percent in April, faster than economists expected, and companies said they planned to boost output in May and June as well. Copper inventories monitored by the London Metal Exchange shrank for a 16th consecutive day. The Dollar Index, tracking the dollar against six currencies, fell for a second day. “Recent positive economic data from Asia as well as the current weakness of the U.S. dollar are supporting prices,” said Eugen Weinberg, a senior commodity analyst at Commerzbank AG in Frankfurt. “Stronger economic data imply better demand for commodities especially cyclical ones like base metals.” Copper for delivery in three months rose $35, or 0.7 percent, to $4,785 a metric ton by 10 a.m. on the LME. The contract has risen 8 percent this month, for a fifth consecutive monthly advance, the best run in three years. LME-monitored stockpiles fell 1.5 percent to 312,275 tons, the lowest since Dec. 12. Inventories have shrunk 43 percent from a peak at the end of February as China, the world’s largest consumer, bought metal for stockpiles. Copper futures for July delivery rose 1.9 percent to $2.1785 a pound on the Comex division of the New York Mercantile Exchange. Prices gained 54 percent this year. Recent data signals “stabilization, but I don’t think it will be enough to support these prices,” Commerzbank’s Weinberg said. “Prices seem to be well ahead of the fundamentals.” Among other LME metals for three-month delivery, aluminum slipped $1 to $1,414 a ton. LME-monitored inventories rose today to a record 4.23 million tons. Nickel rose 1.8 percent to $13,740 a ton, and tin advanced 1.1 percent to $13,800 a ton. Lead rose 2.2 percent to $1,510 a ton, and zinc gained 2.2 percent to $1,514 a ton.

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