Also benefiting the price of the reddish metal during the first trading session of 2013 was strong economic data released by China, the globe's top consumer of the reddish metal. Demand for the base metal is forecast to climb as a result of strong economic data.
"We started off 2013 on a very positive note. The market is thinking the fiscal cliff being resolved quickly leaves the year open to maybe a better-than-expected recovery in the U.S. economy," analyst Robin Bhar with Societe Generale told the news source. "The other big thing for the metals market is a strong rebound in China that could be underway; the data is pointing to that. Sentiment is certainly risk-on and the dollar has taken a back seat because of that, so it should be a pretty good beginning for financial markets."
At 10:24 a.m. on Wednesday, copper futures climbed 2.78 percent, a 0.1015 cent gain to $3.754 per pound.
Bloomberg reports gains for copper futures were the sharpest in three months.
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.