Copper settled -0.13% down at 417.15 as fears over a slowdown in global growth and broad concerns over the ongoing sovereign debt crisis in the euro zone weighed on appetite for riskier assets. Hopes for near-term stimulus from top consumer China supported the market and limited losses. Copper prices came under heavy selling pressure late last week after concerns over the health of the global economy intensified following data showing weak US mfg activity, a shrinking Chinese factory sector and slowing business activity across the euro zone. Copper is sensitive to the global economic outlook because of its widespread uses in construction and manufacturing. But prices found some support after update that Beijing may take measures to boost liquidity and lending to support growth. Meanwhile, investors remained cautious ahead of a EU summit due to begin later in the week, amid hopes progress on greater fiscal integration and allowing the bloc's rescue funds to buy government debt. The debt-strapped country will reportedly present a plan at the summit that includes tax cuts and a request for more time to lower its debt levels. For today's session market is looking to take support at 414.2, a break below could see a test of 411.3 and whereas resistance is now likely to be seen at 418.8, a move above could see prices testing 420.5.
Copper trading range for the day is 411.3-420.5.
Copper settled down as fears over a slowdown in global growth.
Copper dropped as shrinking Chinese factory sector and slowing business activity across the euro zone.
Euro zone plan that includes tax cuts and a request for more time to lower its debt levels.
Warehouse stock for Copper at LME was at 253200mt that is up by 225mt.
BUY COPPER JUNE @ 415-416 SL 413.50 TGT 418.50-420.50.MCX