Nickel market under short covering; Support seen at 770.9
Zinc market under short covering; Support seen at 186.6
MCX Natural Gas likely to trade in a range between 289.5-343.3
NCDEX Soyabean under fresh buying; Resistance seen at 3344
NCDEX Ref.Soya Oil under fresh buying; Support seen at 731
Copper on MCX settled up 1.58% at 438.45 as reports that the U.S. Federal Reserve could pause from raising interest rates helped the metals recovery. The Wall Street Journal reported Fed officials are considering whether to signal a new wait-and-see mentality after a likely rate increase at their meeting in December.
The premium for cash copper over the three-month price was at $9.50 a tonne, down from a peak of $44 in late November, indicating increased nearby supply. LME copper stocks are at their lowest in a decade, however.
Copper inventories in warehouses monitored by the Shanghai Futures Exchange fell 5.5 percent from last Friday, the exchange said. Pan Pacific Copper (PPC), Japan’s top copper smelter, expects the price of the industrial metal to rise toward $7,000 a tonne in 2019, from about $6,168 now, backed by firm global demand and tighter supply, its executive said.
PPC, expects global consumption and supply of refined copper to each increase by 2.2 percent in 2019 from this year. Global copper sales have been solid despite the trade spat and the price will likely climb toward $7,000 – the level needed for miners to start developing new mines – in the latter part of 2019 to reflect a tighter market.
PPC sees the global refined copper market facing a shortage of 236,000 tonnes next year, compared with a deficit of 211,000 tonnes this year.
Trading Ideas:
–Copper trading range for the day is 429.5-443.9.
–Copper gained as reports that the U.S. Federal Reserve could pause from raising interest rates helped the metals recovery.
–Pan Pacific Copper (PPC), expects the price of the industrial metal to rise toward $7,000 a tonne in 2019, from about $6,168 now.
–Copper inventories in warehouses monitored by the Shanghai Futures Exchange fell 5.5 percent from last Friday, the exchange said.
Courtesy: Kedia Commodities
Source: Commodityonline.com
