Zinc market under fresh selling; Support seen at 175
Natural Gas market under long liquidation; Support seen at 201.7
Crude Oil market under short covering; Support seen at 4599
NCDEX Turmeric under fresh selling; Resistance seen at 7233
NCDEX Mustard Seed under fresh buying; Support seen at 4118
Technically Copper market is under fresh selling as market has witnessed gain in open interest by 2.86% to settled at 26685 while prices down 1.55 rupees.
Now MCX Copper is getting support at 417.1 and below same could see a test of 414.6 levels and resistance is now likely to be seen at 422.1, a move above could see prices testing 424.6.
Copper on MCX settled down -0.37% at 419.6 as the global trade disputes continued to sap demand. The U.S currency has also been pushed higher by a standoff over trade tariffs between China and the United States.
Four of the five labor unions representing workers at the El Teniente copper mine in Chile have accepted the latest contract offer from state mining company Codelco, union leaders told. The union that voted against the new contract at El Teniente has until October, when the current labor pact expires, to strike a deal.
Workers at Chile’s Escondida copper mine have meanwhile entered a final phase of negotiations with miner BHP. The union at BHP’s Escondida copper mine, the world’s largest, says the company must improve its contract offer during a final phase of talks if it hopes to avoid a strike, while the main union at Lumina Copper’s Caserones mine said a last round of labour negotiations had broken down and a strike was imminent.
China’s output of copper cathode in July grew 0.5% from June and stood at 725,800 mt. This is up 14.7% on the year. Year-to-date output through July increased 13.1% on the year to 5.05 million mt. Copper inventories in warehouses monitored by the Shanghai Futures Exchange fell 11.3 percent from last Friday to 171,107 tonnes, their lowest level since January 2018.
In LME-registered warehouses, on-warrant copper stocks available to the market were steady at 228,800 tonnes.
Trading Ideas:
–Copper trading range for the day is 414.6-424.6.
–Copper prices gained supported by higher-than-expected Chinese consumer price index and producer price index for July.
–China’s exports growth unexpectedly accelerated in July despite fresh U.S. tariffs, while its trade surplus with the United States remained near record highs.
–China’s imports of copper concentrate rose to an all-time high last month as Chinese smelters ramped up purchases to feed their growing capacity.
Courtesy: Kedia Commodities
Source: Commodityonline.com
