Investing.com - Copper futures inched lower on Thursday, as investors looked ahead to the release of U.S. growth figures for the second quarter later in the session for indications of how the economic recovery is progressing.
Copper prices struggled for upside traction due to a stronger U.S. dollar, as dollar-priced commodities become more expensive to investors holding other currencies when the greenback gains.
The dollar index, which tracks the performance of the greenback against a basket of six other major currencies, was up 0.5% to trade at 81.85, the highest level since August 15.
On the Comex division of the New York Mercantile Exchange, copper futures for December delivery traded at USD3.305 a pound during European morning trade, down 0.2%.
Prices hit a session low of USD3.291 a pound earlier, the weakest level since August 21. The December contract settled 0.75% lower at USD3.311 a pound on Wednesday.
Copper prices were likely to find support at USD3.287 a pound, the low from August 21 and resistance at USD3.354 a pound, the high from August 28.
The U.S. was to publish revised data on second quarter growth and the weekly report on initial jobless claims, data points that will be scrutinized for its potential impact on the Federal Reserve's monetary policy stance.
Copper traders have closely been looking out for U.S. data reports recently to gauge if they will strengthen or weaken the case for the Fed to reduce its bond purchases.
Uncertainty over the timing of a reduction in the Fed’s bond-buying program continued after data showed that U.S. pending home sales fell unexpectedly in July.
Industry data showed that U.S. pending home sales declined 1.3% last month, more than the expected 0.5% fall, after a 0.4% loss the previous month.
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.
The central bank is scheduled to meet September 17-18 to review the economy and assess policy.
Market participants remained cautious amid concerns over an impending U.S.-led military strike against Syria, following the alleged use of chemical weapons.
On Wednesday, President Barack Obama said the U.S. has concluded that the Syrian government carried out a chemical weapons attack near Damascus, but added that he had not yet made a decision about whether to intervene militarily.
Elsewhere on the Comex, gold for December delivery fell 0.8% to trade at USD1,407700 a troy ounce, while silver for December delivery dropped 1.8% to trade at USD24.00.
Copper prices struggled for upside traction due to a stronger U.S. dollar, as dollar-priced commodities become more expensive to investors holding other currencies when the greenback gains.
The dollar index, which tracks the performance of the greenback against a basket of six other major currencies, was up 0.5% to trade at 81.85, the highest level since August 15.
On the Comex division of the New York Mercantile Exchange, copper futures for December delivery traded at USD3.305 a pound during European morning trade, down 0.2%.
Prices hit a session low of USD3.291 a pound earlier, the weakest level since August 21. The December contract settled 0.75% lower at USD3.311 a pound on Wednesday.
Copper prices were likely to find support at USD3.287 a pound, the low from August 21 and resistance at USD3.354 a pound, the high from August 28.
The U.S. was to publish revised data on second quarter growth and the weekly report on initial jobless claims, data points that will be scrutinized for its potential impact on the Federal Reserve's monetary policy stance.
Copper traders have closely been looking out for U.S. data reports recently to gauge if they will strengthen or weaken the case for the Fed to reduce its bond purchases.
Uncertainty over the timing of a reduction in the Fed’s bond-buying program continued after data showed that U.S. pending home sales fell unexpectedly in July.
Industry data showed that U.S. pending home sales declined 1.3% last month, more than the expected 0.5% fall, after a 0.4% loss the previous month.
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.
The central bank is scheduled to meet September 17-18 to review the economy and assess policy.
Market participants remained cautious amid concerns over an impending U.S.-led military strike against Syria, following the alleged use of chemical weapons.
On Wednesday, President Barack Obama said the U.S. has concluded that the Syrian government carried out a chemical weapons attack near Damascus, but added that he had not yet made a decision about whether to intervene militarily.
Elsewhere on the Comex, gold for December delivery fell 0.8% to trade at USD1,407700 a troy ounce, while silver for December delivery dropped 1.8% to trade at USD24.00.