Copper futures trade firm at nearly Rs 527 a kg on strong demand
In the futures market, copper for September delivery touched an intraday high of Rs 528.20 and a low of Rs 524.50 per kg on the MCX.
by Sandeep SinhaCopper prices were firm at Rs 526.90 per kilogram on September 14. The open interest suggested an increase in long positions.
The base metals complex traded firm on positive global cues on a weaker dollar and strong equity indices over coronavirus vaccine hopes. Earlier, prices were trading under pressure as a stronger dollar, US-China tensions and BREXIT uncertainty weighed on industrial metals.
Tapan Patel- Senior Analyst (Commodities), HDFC Securities said, “Copper prices continued bullish stance on the decline in LME inventories and higher demand prospects on China credit growth. Copper premium at Shanghai fell to $62 per tonne to the lowest since March which signalled a tight spot market.”
In the futures market, copper for September delivery touched an intraday high of Rs 528.20 and a low of Rs 524.50 per kg on the MCX. So far in the current series, the precious metal has touched a low of Rs 486 and a high of Rs 531.
Copper delivery for September contract gained Rs 2.80, or 0.53 percent, to Rs 526.90 per kg at 18:20 hours with a business turnover of 4,688 lots. The same for October contract jumped 3.80, or 0.73 percent to Rs 521 per kg with a turnover of 387 lots.
The value of September and October’s contracts traded so far is Rs 1,399.75 crore and Rs 46.23 crore, respectively.
Patel expects Copper prices to continue a bullish trend with resistance at $6,950 per tonne. At MCX, Copper September contract has important resistance at Rs 535 and support at Rs 515 for the coming week.
At 1252 (GMT), the red metal price was up 0.55 percent quoting at $6,749.25 per tonne in London.
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