Copper extends losses on weak China demand
24/02/2015 09:28
Copper futures ended lower in the domestic market on Monday as investors and speculators exited positions in the industrial metal amid tepid demand from China, the world’s biggest metals consumer, with markets being shut for a fourth day on the trot due to the Lunar New Year holidays. Plunging oil prices signaled a worsening health of the global economy, curbing demand prospects for the base metal. Despite a deal between Greece and Euro area finance officials who allowed a four-month funding extension to the debt-laden country, the accord only provided Greece with some breathing space rather than offering a long-term solution to its problems, dimming the demand outlook for copper. A snapshot of national activity in the US edged higher last month, easing worries over a slowdown in the world’s biggest economy, supporting the demand outlook for copper, trimming losses in the base metal. The Chicago Fed National Activity Index rose to 0.13 in January from -0.07 in December, with a reading above zero signaling expansion. Copper may extend losses today as falling US home sales dampen the demand prospects for the metal. At the MCX, Copper futures for February 2015 contract closed at Rs 355.90 per 1 kg, down by 0.25 per cent after opening at Rs 357.90, against the previous closing price of Rs 356.80. It touched the intra-day low of Rs 352.75 till the closing.
24/02/2015 09:28
Copper futures ended lower in the domestic market on Monday as investors and speculators exited positions in the industrial metal amid tepid demand from China, the world’s biggest metals consumer, with markets being shut for a fourth day on the trot due to the Lunar New Year holidays. Plunging oil prices signaled a worsening health of the global economy, curbing demand prospects for the base metal. Despite a deal between Greece and Euro area finance officials who allowed a four-month funding extension to the debt-laden country, the accord only provided Greece with some breathing space rather than offering a long-term solution to its problems, dimming the demand outlook for copper. A snapshot of national activity in the US edged higher last month, easing worries over a slowdown in the world’s biggest economy, supporting the demand outlook for copper, trimming losses in the base metal. The Chicago Fed National Activity Index rose to 0.13 in January from -0.07 in December, with a reading above zero signaling expansion. Copper may extend losses today as falling US home sales dampen the demand prospects for the metal. At the MCX, Copper futures for February 2015 contract closed at Rs 355.90 per 1 kg, down by 0.25 per cent after opening at Rs 357.90, against the previous closing price of Rs 356.80. It touched the intra-day low of Rs 352.75 till the closing.
