Also benefiting the price of the reddish metal was a strike in Chile, the globe's top producer. But those advances were tempered by growing concerns about prospects for reduced demand of the industrial metal.
"The market saw a correction today as a stronger euro/dollar exchange rate spurred some short covering," consultant Gianclaudio Torlizzi with T-Commodity told the news source on Monday. "As the metal has been oversold recently, I expect in the next few weeks it could go up to its 200-day moving average ($7,845 at 1547 GMT), also because of improving fundamentals. The news of the announced strike in Chile for example will put upwards pressure on copper premiums."
At 11:59 a.m. on Monday, copper futures rose 0.7 percent, a 0.0215-cent increase to $3.3635 per pound.
Bloomberg reports the price of copper futures also benefited from conjecture about the U.S. Federal reserve continuing with its monetary easing policies after a jobs report from late last week was weaker than anticipated.
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.