COPPER

FUNDAMENTALS

Copper prices rebound during Wednesday’s following a series of better than expected recently released US economic data.

Moreover WBMS release of copper markets deficit during the first ten months of the current year also helped copper prices recover.   Firmness in crude oil prices and a drawdown in Comex warehouse copper inventories also supported copper prices during the Wednesday’s session.

The World Bureau of Metal Statistics revealed global copper market was in a deficit of 207,000 mt during first ten months of the current year. Production of refined copper in October totaled 1.491 million mt and consumption totaled 1.456 million mt. World Mine copper production during January to October rose 2.1% on year to 12.6 million mt, though refined copper production was up by 2.5% to14.73 million mt during the same period.

TECHNICALS

Candlestick pattern is showing bullish sentiments are prevailing in the market. Copper’s prices have closed below short & medium term EMA’s showing weakness in the market. MACD is falling in negative zone showing increasing bearish momentum. Stochastic Oscillator has made a bullish crossover in oversold region and RSI is rising in neutral region indicating firmness. Copper may trade volatile with slight firmness during Thursday’s session.

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