Natural Gas market under fresh buying; Support seen at 191.5
Crude Oil market under fresh buying; Support seen at 4742
Short covering seen in MCX Cotton
MCX Cardamom under long liquidation
NCDEX Jeera under short covering; Support seen at 19730
Technically market is getting support at 422.1 and below same could see a test of 418.7 levels and resistance is now likely to be seen at 427.8, a move above could see prices testing 430.1.
Copper on MCX settled down 0.11% at 425.40 on fresh selling as trade war worries push prices lower despite “excess demand” for its production. Copper prices are down about 15 percent from a mid-June peak as uncertainty over tariffs and trade wars rattles markets.
Copper prices fell on Monday as investors shrugged off a potential strike at the world’s largest copper mine and focused instead on economic data this week expected to show slowing growth in top metals consumer China.
Benchmark copper on the London Metal Exchange closed down 0.8 percent at $6,250 a tonne while the most traded contract on the Shanghai Futures Exchange fell 1.4 percent.
Workers at Chile’s Escondida copper mine rejected a final contract offer and began a vote on strike action that will end in the middle of this week. Last year, a 44-day strike at the mine pushed copper prices sharply higher.
Now Investors are betting that copper prices will continue to fall, with the net short position on the Comex exchange the largest in nearly two years. Last night the US dollar index dipped 0.33% overnight and stood at 94.3, ahead of economic data release and central bank monetary policy meetings this week.
Now day ahead key things to monitor today will be China’s official manufacturing PMI for July, eurozone GDP growth in the second quarter, CPI for July, unemployment rate in June, US PCE price index in June, personal spending in June and the Conference Board’s consumer confidence index for July.
Trading Ideas:
–Copper trading range for the day is 418.7-430.1.
–Copper slipped as investors shrugged off a potential strike at the world’s largest copper mine.
–Workers at Codelco’s copper mine in Chile, the state miner’s second largest by output, walked off the job on Monday morning and blocked access to the mine.
–Copper inventory in Shanghai bonded areas fell further, down 10,100 mt on the week to 476,700 mt.
Courtesy: Kedia Commodities
Source: Commodityonline.com
