Copper recovered and settled 1.22% up at 430.95 holding on to gains after Spain saw medium term borrowing costs jump at a government debt auction earlier in the day. Copper remained supported amid ongoing expectations policy makers in China will increase efforts to boost growth in the world's largest copper. Meanwhile, investors mulled over a second day of testimony on the US economy and monetary policy by Fed Chairman. Bernanke reiterated that the US central bank was prepared to take further action to support the economic recovery if necessary. However, he failed to indicate whether the Fed will embark on QE3. Market participants looked ahead to a raft of US data later in the day, to gauge the strength of the US economic recovery. On Wednesday, official data showed that US housing starts hit their highest level since October 2008 last month. Hopes for additional stimulus measures from China continued to support copper prices. There are expectations in the market that China will cut its banks' RRR to boost lending and support growth in the world's largest copper consumer. For today's session market is looking to take support at 427.4, a break below could see a test of 423.8 and whereas resistance is now likely to be seen at 433.1, a move above could see prices testing 435.3.

COPPER

Copper trading range for the day is 423.7-435.3.

Copper gains after Spain saw medium term borrowing costs jump at a government debt auction earlier in the day

There are expectations in the market that China will cut its banks' RRR to boost lending and support growth

Copper daily stocks at Shanghai exchange came down by 5072 tonnes

Warehouse stock for Copper at LME was at 252550mt that is down by -1025mt.

SELL COPPER AUG BELOW 430 SL 432.50 TGT 428.60-426.50. MCX