Copper prices are starting out this morning with sizable gains, and have climbed more than 16 cents higher during the past 4 sessions. From the trading action of the past 36 hours, some traders feel that the copper market was willing to sort through the US economic data and embrace the positive numbers while discounting the negative readings. Other traders were suggesting that weaker US data could mean that the Federal Reserve might be pulled off the bench, although a positive reception to several US housing reading this week may have offset any disappointment from the US jobs front. The early gains in copper this morning might provide some additional confidence to the market, especially since news of a Spanish credit rating downgrade could have led to a definitive risk off market environment this morning. Copper may have found additional support from news that Shanghai copper stocks were down 6,408 tons for the week, and it is also possible that an LME copper stock decline overnight of 3,525 tons also provided strength to copper prices this morning.
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