Investing.com - Financial Markets Worldwide

Base Metals Trade Down on Euro Debt Worries

ByCommodityOnline
Published 03/05/2012, 11:44 PM
Updated 05/14/2017, 06:45 AM
HG
-
IMOEX
-

Rising uncertainty with respect to Euro Zone debt worries coupled with mixed sentiments in the global markets led base metals pack to trade on a mixed note on the LME last week. In addition to this, strength in the US dollar also acted as a negative factor for metal prices.

However, depreciation in the Indian Rupee (INR) led gains on the domestic bourses in the last week and in case of nickel sharp decline in prices was cushioned. On a weekly basis, the INR depreciated around 1 percent and closed at the level of 49.51 on Friday.

Copper

Copper, the leader of the base metals complex, traded higher by almost 1 percent on the LME and around 3.2 percent on the MCX last week. Sharp fall in copper LME inventories acted as a supportive factor for the red metal prices last week.

On a weekly basis, copper inventories on the LME warehouses declined sharply by almost 5 percent to 289,000 tonnes on 2nd March 2012 from the previous level of 303,500 tonnes on 24th February 2012.

Weekly copper inventories in warehouses monitored by the Shanghai Futures Exchange increased around 2.5 percent to 221,487 tonnes in the last week. Inventories in China are witnessing an increase but expected reversal in monetary policy is expected to support demand in the coming months.

The red metal touched a high of $8695/tonne and ended its trading session at the level of $8578/tonne last week. On a weekly basis, MCX Copper April contract hit a high of Rs434.40/kg and closed at the level of Rs 431.50/kg on Friday.

Latest comments

Loading next article…
Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2025 - Fusion Media Limited. All Rights Reserved.