But investors considered the fact that many Chinese factories were not in full operation during the month of January due to the observation of the Lunar New Year, which consumes one week of the month. But China, also host of the globe's most rapidly developing economic system, is the world's top user of the reddish metal.
"A fall was on the cards, this was slightly less than I had expected given the base effect from the accelerated unloading in December and the Lunar New Year in January," senior commodities strategist Nick Trevethan with Australia and New Zealand Bank told the news service.
At 1:22 p.m. on Friday, copper futures dropped 2.93 percent, an 11.65 cent slip to $3.862 per pound.
A poll administered by Bloomberg indicated most respondents believe the price of copper futures is likely to gain next week because of growing confidence in global development. With myriad uses in manufacturing and construction, copper is sensitive to economic and financial developments.
This material is conveyed as a solicitation for entering into a derivatives transaction.
This material has been prepared by a Daniels Trading broker who provides research market commentary and trade recommendations as part of his or her solicitation for accounts and solicitation for trades; however, Daniels Trading does not maintain a research department as defined in CFTC Rule 1.71. Daniels Trading, its principals, brokers and employees may trade in derivatives for their own accounts or for the accounts of others. Due to various factors (such as risk tolerance, margin requirements, trading objectives, short term vs. long term strategies, technical vs. fundamental market analysis, and other factors) such trading may result in the initiation or liquidation of positions that are different from or contrary to the opinions and recommendations contained therein.
Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.
Trade recommendations and profit/loss calculations may not include commissions and fees. Please consult your broker for details based on your trading arrangement and commission setup.
You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. You should read the "risk disclosure" webpage accessed at www.DanielsTrading.com at the bottom of the homepage. Daniels Trading is not affiliated with nor does it endorse any third-party trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.