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Copper futures fluctuate in holiday-thinned trade

Published 11/28/2013, 05:21 AM
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Investing.com - Copper futures swung between small gains and losses on Thursday, as trading conditions remained thin with markets in the U.S. to remain closed for the Thanksgiving Day holiday

On the Comex division of the New York Mercantile Exchange, copper futures for March delivery traded at USD3.195 a pound during European morning trade, up 0.15%.

Comex copper prices traded in a range between USD3.185 a pound, the daily low and a session high of USD3.209 a pound.

The March contract settled 0.89% lower on Wednesday to end at USD3.190 a pound.

Copper prices were likely to find support at USD3.180 a pound, the low from November 27 and resistance at USD3.233 a pound, the high from November 27.

Trade volumes were expected to remain light on Thursday, with Comex floor trading scheduled to remain closed for the Thanksgiving Day holiday in the U.S. An abbreviated session was slated for Friday.

Copper prices were pressured on Wednesday after upbeat U.S. employment and consumer confidence data fuelled expectations the Fed will start to taper its stimulus program at one of its next few meetings.

Prices of the industrial metal are down approximately 13% this year on concerns the Fed would begin cutting back its easy-money policy by trimming its USD85-billion monthly bond purchasing program.

The Fed’s stimulus program is viewed by many investors as a key driver in boosting the price of commodities as it tends to depress the value of the dollar.

Elsewhere on the Comex, gold for February delivery dipped 0.1% to trade at USD1,240.50 a troy ounce, while silver for March delivery fell 0.85% to trade at USD19.72 a troy ounce.

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