Copper on MCX settled down -2.55% at 363.75 shrugging off a tentative recovery in the broader financial markets as geopolitical tensions and fading hopes for a boost to U.S. demand pressured prices. Copper has faltered after BHP Billiton restarted production in Chile last week and Freeport McMoRan said it was waiting for final details on a temporary export permit in Indonesia. Concerns over supply disruptions had sent the metal to a 1-1/2 year high of $6,204 in mid-February. The discount of LME cash copper to the three-month contract was at $32 a tonne, close to the biggest in four years, indicating adequate supply of refined metal in the market. Union representatives and executives from miner Southern Copper in Peru failed to reach an accord to end an indefinite strike, the union said. Eurozone industrial production declined 0.3% in February compared with expectations of a 0.1% increase for the month and the January data was revised significantly lower to an increase of 0.3% compared with the original estimate of 0.9%. There was a sharp 4.7% decline in energy output for the month while non-durable consumer goods production also declined on the month. In contrast, capital goods and intermediate goods output both increased for the month. Technically market is under fresh selling as market has witnessed gain in open interest by 35.38% to settled at 21537 while prices down -9.5 rupees, now Copper is getting support at 360.4 and below same could see a test of 357 level, And resistance is now likely to be seen at 369.8, a move above could see prices testing 375.8.
Copper trading range for the day is 357-375.8.
Copper eased shrugging off a tentative recovery in the broader financial markets as geopolitical tensions and fading hopes for a boost to U.S. demand pressured prices.
The metal slipped this week along with other cyclical assets as concerns over North Korea and the Middle East ratcheted up.
Prices remained under pressure amid impatience over the lack of details around Trump's plans for infrastructure