Risk aversion and stronger dollar have victimized base metals complex. We have seen sharp correction in copper, nickel, zinc and lead. Despite of drawdown in inventories, copper prices plummeted on LME.
Industrial metals slid on Monday with copper tumbling about 5 percent as skidding equities underlined concern about the economy and demand, while a stronger dollar exerted downward pressure. Copper inventories in LME warehouses fell by 7,300 tonnes to 462,325 tonnes, having dropped nearly 80,000 tonnes since mid-February. Cancelled warrants stocks earmarked for delivery rose to 68,325 tonnes from 64,400 tonnes on Friday.
Crude futures in U. S. steadied below $46 a barrel, after falling nearly 9 percent a day earlier as worries about the U. S. banking sector hit equity markets. The U. S. dollar rallied on safe-haven bids.
After a steep decline in price during last week, demand from India was seen improving due to Akshaya Tritya festival and U. S. stocks broadly dropped more than 3 percent, stirred by worries that problems would persist for the struggling banking sector which led to sharp upside in precious metals. Every time risk aversion has risen, we have seen precious metals moving up.
The man who was instrumental in bringing about a turnaround for the Axis Bank is on his way out - that too three months before his tenure officially comes to an end!
Gold remained to trade on a weak note, as it slightly breached below the weekly swing low. 
According to a recent report by the information technology research and advisory firm Gartner, the economic downturn and protectionist measures of western countries notwithstanding, the market share of the business process outsourcing (BPO) industry will likely increase two-fold over the next couple of years. 
