The copper market remains in an extended selloff, as prices have now moved over 30 cents lower during the last six trading sessions. Risk concerns from North Africa and the Middle East have been widely seen as adding to the pressure on the March contract, with rising copper stocks, Chinese tightening and weak global equities already thought to have prices squarely on the defensive. A muted response from the Dollar towards an escalation in overseas problems was thought by some traders to have kept the copper market from having an even worse performance, but other traders feel that the buildup of negative market factors may be difficult for prices to overcome during the near future. There appears to be some improvement with equity markets, particularly in the US, but this has failed to translate into support for copper prices. News that South Korea will increase its inventory of copper was thought to be a moderately positive factor for the copper market. LME Copper Stocks were 411,750 tons, down 50.
Join the Discussion