Market and product
Copper regains ground on fundamentals
Investors, though remained nervous about the debt problems in US and Europe.
With the S&P warning that it can cut the credit rating of US from the current AAA and fears that Greece may have to restructure its debt weighed on the markets, said a Reuters report.
However the fundamentals remain strong in that the copper deficit would continue to prevail and long term demand would still keep breathing.
The markets invariably peg on Chinese factor.
However copper inventories on the rise have raised concerns about some short-term demand weakness from top consumer China.
At 451,950 tonnes, its highest since June, the inventories rose 175 tons.
From December's $70 backwardation -- a premium for cash over three-month copper--Copper was in a $21.50 contango -- a discount for cash over three-month material.
Meanwhile, India’s MCX copper for April delivery touched a high of Rs.415.90 and was found trading at Rs.414.75 up 0.18% on 5.14 pm.
