Copper Trades With Losses Ahead of Non Farm Payroll Number of US

Copper.....

Although a whole day is left for the announcement of Nonfarm payroll numbers in US, Copper markets are trading in a slower zone before the data. Any rise in US economic figure will pave way for the movement of copper in coming days. The LME three month benchmark prices were trading at $ 7419 per tonne. The spot markets were trading at $ 7390 per tonne.
Another reason to worry is the dilemma of Federal Reserve stance had the economic numbers come more than expected. In that case Fed Chairman Ben Bernanke can review the position of continuation of stimulus measures.
In last two days, prices have been supported by disruption of Copper supplies in Freeport McMoran Copper and Gold mine. The production has been halted for three months.
In a major economic news last night, private payroll data from ADP showed that non government US employers added 167000 jobs. Meanwhile, ISM May services index rose to 53.7 percent compared to 53.1 percent in April. Economists were expecting a reading of 54 percent.
On Wednesday, data revealed the euro zone's service-sector purchasing managers' index fell to 47.2 in May, missing expectations for a 47.5 reading.
MCX Copper benchmark prices ended at Rs 424.2 per kg on Wednesday, up Rs 3.7. The prices are expected to correct from current levels with downside targets at Rs 420 and 418 per kg. Resistance for the contract is at Rs 425-426 per kg.
Source by Commodity Insights