Morning Copper Market Report

Copper prices have traded lower this morning, with some traders feeling that the market is not finding support from a slight improvement with global macro economic sentiment. Other traders have suggested that the global macro economic outlook remains uncertain and even if positive US economic data is seen today, growth views toward the US economy might not be dramatically improved. It is also possible that fundamental news in copper is limiting strength this morning, as an investment bank overnight suggested that Chinese copper stocks might be at burdensome levels. There was also news this morning that LME copper stocks showed another daily gain of 1,550 tons last night, and now stand at 262,700 metric tons. There have been reports that Chinese financing activity with physical copper might be less prevalent during the near future, which may reinforce ideas that copper supplies in China are currently adequate and projects a lack of future Chinese support for copper prices. The copper market recently has seen a number of forecasts predicting stronger US copper demand, so US economic data might be instrumental with providing support for copper prices.