As Stimulus Hopes Fades Cracks Resurface In Copper

Cracks emerged in Copper after the hopes of stimulus measures from China faded. In previous week it was juxtaposed whether stimulus measures will be provided or not. The metal saw serious lack of interest among grip of short sellers. The LME three month forward counter was down $97 per tonne at $ 7440 per tonne on Monday.

For Tuesday, Copper again looks trading in a tight range with limited positive surprises expected. Indian Copper opened for a evening session and immediately sinked into losses. Benchmark Copper closed at Rs 414.7 per kg, down 1.3%.

Among other metals, LME Aluminium three month forwards closed at $ 1835 per tonne, down $ 22 per tonne. MCX Aluminium closed at Rs 101 per kg, down 1.1%. Supports for the contract are at Rs 100.5 and 100 per kg.

China housing prices moved higher for the second straight month and dented the prospects that the country will adopt any stimulus measures. Till last week the calls for stimulus package was higher after China Premier Wen Jiaboa stated that easing monetary policy was a likelyhood.

Greece Hellenic Statistical Authority said that the industrial orders declined for the ninth straight month. Industrial new orders decreased 8.8 percent on an annual basis in June, faster than the 7.6 percent fall seen in May.Via

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