Investing.com - Copper futures rallied to a two-week high on Tuesday, after a raft of upbeat economic data of the U.S. and the U.K. fuelled optimism over the global economic outlook.
On the Comex division of the New York Mercantile Exchange, copper futures for September delivery traded at USD3.203 a pound during European morning trade, up 1.1%.
Nymex copper prices rose to a session high of USD3.207 a pound earlier in the day, the strongest level since July 24.
Copper prices were likely to find support at USD3.148 a pound, Monday’s low and resistance at USD3.233 a pound, the high from July 24.
The U.K. Office for National Statistics said earlier that manufacturing production jumped by a seasonally adjusted 1.9% in June, blowing past expectations for a 0.9% increase.
On an annualized basis, manufacturing production rose at rate of 2% in June, compared to expectations for a 0.9% increase. Manufacturing production dropped at a rate of 2.9% in the preceding month.
The report also showed that industrial production rose by a seasonally adjusted 1.1% in June, beating expectations for a 0.6% increase.
Europe as a region is third in global demand for the industrial metal and manufacturing is a key driver of copper use.
Meanwhile, data on Monday showed that activity in the U.S. services sector expanded at the fastest rate in five months in July.
The Institute of Supply Management said its non-manufacturing purchasing manager's index rose to 56.0 from a three year low of 52.2 in June, as new orders jumped.
The U.S. is second behind China in global copper demand.
Copper traders now looked ahead to data scheduled for later in the week on China’s trade balance as well as a report on inflation and industrial production, amid ongoing concerns over the Asian nation’s economic outlook.
China is the world’s largest copper consumer, accounting for almost 40% of world consumption last year.
The September contract settled down 0.15% at USD3.168 a pound on Monday amid concerns the Federal Reserve will taper its bond-buying program in the coming months.
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 December delivery lost 0.8% to trade at USD1,292.25 a troy ounce, while silver for September delivery dipped 0.1% to trade at USD19.69 a troy ounce.
Moves in the gold and silver price this year have largely tracked shifting expectations as to whether the U.S. central bank would end its bond-buying program sooner-than-expected.
On the Comex division of the New York Mercantile Exchange, copper futures for September delivery traded at USD3.203 a pound during European morning trade, up 1.1%.
Nymex copper prices rose to a session high of USD3.207 a pound earlier in the day, the strongest level since July 24.
Copper prices were likely to find support at USD3.148 a pound, Monday’s low and resistance at USD3.233 a pound, the high from July 24.
The U.K. Office for National Statistics said earlier that manufacturing production jumped by a seasonally adjusted 1.9% in June, blowing past expectations for a 0.9% increase.
On an annualized basis, manufacturing production rose at rate of 2% in June, compared to expectations for a 0.9% increase. Manufacturing production dropped at a rate of 2.9% in the preceding month.
The report also showed that industrial production rose by a seasonally adjusted 1.1% in June, beating expectations for a 0.6% increase.
Europe as a region is third in global demand for the industrial metal and manufacturing is a key driver of copper use.
Meanwhile, data on Monday showed that activity in the U.S. services sector expanded at the fastest rate in five months in July.
The Institute of Supply Management said its non-manufacturing purchasing manager's index rose to 56.0 from a three year low of 52.2 in June, as new orders jumped.
The U.S. is second behind China in global copper demand.
Copper traders now looked ahead to data scheduled for later in the week on China’s trade balance as well as a report on inflation and industrial production, amid ongoing concerns over the Asian nation’s economic outlook.
China is the world’s largest copper consumer, accounting for almost 40% of world consumption last year.
The September contract settled down 0.15% at USD3.168 a pound on Monday amid concerns the Federal Reserve will taper its bond-buying program in the coming months.
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 December delivery lost 0.8% to trade at USD1,292.25 a troy ounce, while silver for September delivery dipped 0.1% to trade at USD19.69 a troy ounce.
Moves in the gold and silver price this year have largely tracked shifting expectations as to whether the U.S. central bank would end its bond-buying program sooner-than-expected.