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Copper moves higher as global tensions fade away

Published 07/22/2014, 04:26 AM
Copper edges higher as global tensions ebb
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Investing.com - Copper futures moved higher on Tuesday, as geopolitical concerns in eastern Ukraine and the Gaza strip eased.

On the Comex division of the New York Mercantile Exchange, copper for September delivery rose to a session high of $3.221 a pound, the most since July 17, before trimming gains to last trade at $3.214 during European morning hours, up 0.45%, or 1.4 cents.

Copper ended Monday’s session up 0.46%, or 1.4 cents, to settle at $3.199. Futures were likely to find support at $3.173, the low from July 21 and resistance at $3.226 a pound, the high from July 17.

Sentiment recovered after pro-Russian rebel leader Aleksander Borodai handed over the black boxes of the downed Malaysian passenger plane to Malaysian experts earlier Tuesday.

The United Nations Security Council voted unanimously on Monday to approve a resolution calling for an international probe into the incident and unimpeded access to the crash site.

The U.S. initially blamed pro-Russian separatists for the act, while Russia and Ukraine accuse each other of being behind the downed passenger plane.

European Union foreign ministers are to meet later Tuesday to discuss another round of sanctions against Russia, as the country continues to violate Ukraine's sovereignty and back separatists.

Meanwhile, the United States stepped up efforts to secure a ceasefire in the Gaza strip, as fighting between Israeli security forces and Hamas militants continued. U.S. Secretary of State John Kerry and United Nations chief Ban Ki Moon arrived in Cairo for talks aimed at stopping the bloodshed.

Elsewhere on the Comex, gold for August delivery shed 0.44%, or $5.80, to trade at $1,308.10 a troy ounce, while silver for September delivery dipped 0.35%, or 7.4 cents, to trade at $20.93 an ounce.

Later in the day, the U.S. was to release reports on consumer price inflation and existing home sales, amid speculation over when the Federal Reserve may start to raise interest rates.

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