OREANDA-NEWS. February 13, 2015. Copper rose on Thursday, underpinned by a cease-fire in Ukraine and a weak dollar, although gains were kept in check by caution over a deadlock in talks between Greece and its international creditors.

Three-month copper on the London Metal Exchange (LME) closed up 2.4 percent at \\$5,736 a tonne after touching \\$5,754, the highest in a week. Helping gains was a drop in the dollar against a basket of currencies, which makes commodities priced in the US unit cheaper for holders of other currencies.

Investors were also encouraged after Germany, France, Russia and Ukraine agreed a deal that offers a "glimmer of hope" for an end to fighting in eastern Ukraine.

Keeping markets cautious though, the European Central Bank raised pressure on Greece to extend an international bailout deal or risk a bank collapse.

"Traders are waiting for the Greece saga to end and hopefully both parties will find a way to come out of this deadlock situation and this could renew copper demand in the euro zone," said Naeem Aslam, chief market analyst at Ava Trade. The metal used in power and construction is still down almost 10 percent so far this year.

"I'm still optimistic we'll see some post-Chinese new year activity in terms of both Chinese import demand and industrial activity in general, though my expectations have been tempered a bit by the recent weak data points," said strategist Daniel Hynes of ANZ in Sydney. Hynes said weaker-than-expected Chinese inflation data ahead of the Lunar New Year had sparked speculation about the measures China may take to support its economy, adding the potential for a rate cut was likely to keep short sellers at bay.

Markets in China will be closed for a week from Feb. 18 for the Lunar New Year holiday.

Supporting prices were industry surveys that showed China's new home prices may have bottomed and even started to rebound in January after eight months of declines. This fuelled hopes that official data due on Tuesday will confirm a recovery in the property market.

A legal challenge by the United States to Chinese export subsidies that takes aim at aluminium products is set to revive industry concerns that China could cut a sales tax refund which has boosted exports and eased a supply shortfall in Asia.

Aluminium closed up 1.1 percent at \\$1,841.50 a tonne, zinc ended 1.3 percent higher at \\$2,1461 and lead climbed 1.8 percent to \\$1,834.

Tin gained 2 percent to close at \\$18,000 a tonne while nickel shed 0.7 percent to \\$14,705.