Southern Copper Corp's stock surged 7.37% during intraday trading on Tuesday, significantly outperforming the broader market.
The sharp rise in the copper miner's share price is attributed to a rally in copper metal prices, driven by news that China plans to increase its strategic stockpiles of the industrial metal. This development, coupled with a rekindling of risk appetite among global investors, lifted the entire copper mining sector.
Benchmark copper prices climbed 3.4% on the news, providing a direct boost to producers like Southern Copper. The positive sector sentiment reflects expectations of stronger demand and tighter supply fundamentals supporting higher metal prices.
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