Copper on gaining streak as stockpiles tumble
Sunday, 3 October 2010
SINGAPORE, Oct 2 (Commodity Online): Improved industrial consumption in China has boosted copper prices in the international markets. The manufacturing data from the Asian giant has showed robust growth in September.
Copper hit a 26-month high in New York Mercantile Exchange (NYMEX) after the Chinese manufacturing growth report.
China, world's largest consumer of the red metal has reported sharp rise in the purchasing manager's index, which rose to 53.8 in September from 51.7 in August, signaling the fastest expansion in four months.
The metal prices also rose on weakening of dollar that hit bottom levels since January this year.
Considering the growth of industrial expansion in China, the industry experts are bullish for the price escalation in coming days.
December delivery for copper jumped 3.90 cents, or 1.1 per cent, to close at USD 3.6905 per pound on the Comex division in the New York.
The prices had hit a peak level of USD 3.722, highest since July 30, 2008. The metal has so far gained 2 per cent in the international markets.
Meanwhile, on London Metal Exchange (LME) the inventories were down for a fifth straight day to the lowest level since November 3.
Stockpiles have tumbled 26 per cent this year.
LME copper for three months delivery gained USD 86, or 1.1 per cent, to USD 8,100 per tonne ($3.67 a pound). The prices have climbed up 35 per cent in the past 12 months.
Copper hit a 26-month high in New York Mercantile Exchange (NYMEX) after the Chinese manufacturing growth report.
China, world's largest consumer of the red metal has reported sharp rise in the purchasing manager's index, which rose to 53.8 in September from 51.7 in August, signaling the fastest expansion in four months.
The metal prices also rose on weakening of dollar that hit bottom levels since January this year.
Considering the growth of industrial expansion in China, the industry experts are bullish for the price escalation in coming days.
December delivery for copper jumped 3.90 cents, or 1.1 per cent, to close at USD 3.6905 per pound on the Comex division in the New York.
The prices had hit a peak level of USD 3.722, highest since July 30, 2008. The metal has so far gained 2 per cent in the international markets.
Meanwhile, on London Metal Exchange (LME) the inventories were down for a fifth straight day to the lowest level since November 3.
Stockpiles have tumbled 26 per cent this year.
LME copper for three months delivery gained USD 86, or 1.1 per cent, to USD 8,100 per tonne ($3.67 a pound). The prices have climbed up 35 per cent in the past 12 months.