December copper posted a fresh new low for the move during overnight trading and in the process fell to the lowest prices level since September 17th. Adverse currency market action, sagging global equities and fears of slackening Chinese demand ahead of a week long holiday were all widely seen as key negative factors for the market. With a surprisingly weak German Ifo survey appearing to add to the negative tone of many physical commodity markets early today, some traders feel it could be difficult for today's regional Fed surveys to markedly improve upon the initial weaker bias in commodity prices.
The copper market appeared to have mostly discounted news of a rather large world copper deficit for the first half of 2012, relative to the first half of last year from the International Copper Study Group. In addition, the copper market appears to have mostly discounted news of a monthly world copper supply deficit from the International Copper Study Group last night, which some traders feel could suggests the focus of the copper market is locked onto the prospect of slumping global demand directly ahead.
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