Copper on MCX settled down -0.21% at 311.4 as Chinese industrial production data for last month missed forecasts, although news that major producer BHP Billiton had put its 2017 copper output guidance under review underpinned prices. Chinese economic data has been mixed over the last few weeks, but third quarter GDP was as expected at 6.7%, as were fixed asset investment at 8.2% and retail sales at 10.7%. Industrial production, however, at 6.1% fell short of the forecast 6.4%. The world’s largest end-user of copper is meeting Beijing’s target of 6.5-7% expansion, but worries remain over the health of the housing sector especially after the government has injected a historic level of capital into the system. China’s apparent consumption of major base metals is set to slow over 2016-2020, with annual copper demand growth to ease to an average of 3.3% during this period, the country’s Ministry of Industry and Information Technology (MIIT) said. Demand growth in major base metals such as copper and aluminium will slow while the country’s economy enters a new norm, it added. However, a copper turnaround is possible with the fundamental picture expected to improve over the next year, according to BHP Billiton. In U. S. data, building permits in September came in at 1.23 million, besting the forecast of 1.17 million. Housing starts over the same period disappointed at 1.05 million, while 1.18 million was the economic consensus. Technically market is under fresh selling as market has witnessed gain in open interest by 4.88% to settled at 39672 while prices down -0.65 rupee, now Copper is getting support at 309.9 and below same could see a test of 308.4 level, And resistance is now likely to be seen at 313.1, a move above could see prices testing 314.8.

Trading Ideas:

Copper trading range for the day is 308.4-314.8.

Copper dropped as Chinese industrial production data for last month missed forecasts.

China's economy expanded at a steady 6.7 percent in the third quarter, partly fuelled by red-hot growth in property prices.

Demand growth in major base metals such as copper will slow while the country’s economy enters a new norm.