Sector movers: Mining stocks continue to rise as China concerns ease

14th Oct 2014 14:20

Mining stocks were on the rise again on Tuesday as share prices continued to rebound after a recent slump.Fears about a global economic slowdown have weighed heavily on equity markets over recent weeks with the mining sector bearing the brunt of the sell-off as commodity prices dropped.However, concerns about the Chinese economy - the top consumer of metals in the world - have eased this week after trade data on Monday surpassed analysts' expectations.News that the People's Bank of China (PBoC) has cut short-term borrowing costs for banks also gave sentiment a boost on Tuesday. This was the second time in a month that the PBoC cut the so-called 14-day 'repo' rate amid speculation that policymakers will engage in more direct easing measures if needed to combat an easing of growth.Meanwhile, there were reports that the Asian powerhouse has reaffirmed plans to boost infrastructure projects to support growth.Copper prices moved to a two-week high, given that China accounts for nearly half of the world's copper demand. Three-month copper was up 0.1% at $6,728.50 a tonne in London, after having earlier risen to $6,760 - its highest since 30 September.Gold prices were also up 0.3% at $1,233.10 an ounce in New York. Bullion reached a intra-day high of $1,238 on Monday, its highest since 17 September.Rio Tinto was among the best performers on the FTSE 350 in London, along with Anglo American, Centamin, Ferrexpo and Kazakhmys.Polymetal, Glencore, BHP Billiton, Vedanta and Fresnillo were also on the rise. Among the small caps, Sunrise Resources, Rare Earth Minerals, Anglo Pacific and Goldstone Resources were putting in decent gains.Top performing sectors so far todayTechnology Hardware & Equipment 1,009.58 +2.20%Mining 15,800.55 +1.61%Chemicals 9,243.19 +1.58%Industrial Metals & Mining 1,295.77 +1.38%Forestry & Paper 10,545.16 +1.35%Bottom performing sectors so far todayPersonal Goods 23,137.58 -1.13%Food & Drug Retailers 2,497.53 -0.79%Oil & Gas Producers 7,523.03 -0.50%Insurance (non-life) 1,819.56 -0.49%Tobacco 38,752.13 -0.40%