June 18 (Bloomberg) -- Copper gained for the first time in five days in Asia, halting the longest slide in six months, as the dollar weakened, boosting demand for commodities as alternative investments. The dollar was little changed against a basket of six major currencies after falling 1.1 percent in the previous two days, making the metal cheaper for holders of other currencies. “The gains are dollar driven,” Wang Zhouyi, an analyst at China International Futures (Shanghai) Co., said today. “However, the mood of the market is still cautious, which is likely to cap any rally.” Three-month delivery copper on the London Metal Exchange added as much as 1 percent to $5,009 a metric ton, rebounding from a four-day slide, its longest losing streak since a five- day fall up to Dec. 18. The contract traded at $4,995 a ton at 3:21 p.m. Singapore time. September-delivery copper on the Shanghai Futures Exchange fell as much as 1.1 percent to 38,970 yuan ($5,702) a ton, before ending the day at 39,230 yuan. Copper for September delivery in New York gained 0.6 percent to $2.2825 a pound. The negative arbitrage between the London and Shanghai markets will also put a lid on prices, according to Wang. Some investors in China buy the metal in London and sell in Shanghai to profit from the difference between the two markets. Futures in China are trading at a discount to those on the London Metal Exchange, with prices today more than 900 yuan-a- ton lower than London, after accounting for China’s 17 percent value-added tax, according to Bloomberg calculations. Among other LME-traded metals, aluminum rose 1.2 percent to $1,642 a ton, zinc gained 1.7 percent to $1,578 a ton and lead added 1.4 percent to $1,685 a ton. Nickel was up 0.5 percent at $14,925 a ton and tin climbed 0.7 percent to $15,200 a ton as of 3:34 p.m. in Singapore.

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