Futures Market News
Copper futures gain amid optimism Chinese demand will resume
Apr 12, 2012 01:57 PM
The reddish metal saw gains of more than 2 percent as preoccupations about the sovereign debt scourge eased after Italy sold debt. But all eyes were patiently awaiting economic news expected for release on Friday out of China, which consumes as much as 40 percent of the globe's copper.
The sovereign debt crisis "has been a contributory factor in the weakness over the last couple of weeks, but the default position of markets is to be bullish unless the evidence is overwhelmingly the other way around," analyst Stephen Briggs with BNP Paribas told Reuters. "Chinese demand is soft by China standards, but it's still growing, and until next year you still have supply constraints in copper and people are very aware of that."
At 2:16 p.m. on Thursday, copper futures were up 2.07 percent, a 7.55 cent lift to $3.715 per pound.
Bloomberg reports forecasters project the world is facing a third-straight shortage of the reddish metal this year, which they said will continue pushing up the price of futures as growth in the U.S. continues rapidly developing.
Don’t Miss Our News Updates!
Follow our breaking news stories and get a unique take on current events that may impact the commodity futures markets. Multiple new articles are posted each weekday. Subscribe to our commodity news updates by email, and receive real-time updates with our RSS feed, follow us on Twitter @DanielsTrading, become a fan on Facebook to stay informed.
SPECIAL OFFER: Receive Your FREE Grain Futures eBook
Download “Inside the Grain & Oilseed Markets” today!
Whether you are new to the agricultural commodities industry or a seasoned trader, it is important to have a solid understanding of the markets to assist you and your trading strategies. From its unique specifications to its key fundamentals, learn how this important sector came to be.
Register for Your Free 2-Week Trial of the dt Insider Market Advisory!
With your free trial membership, you'll receive full access to our exclusive trade recommendation service and all of the timely and accurate trade information you need to feel comfortable participating in the markets.