12 Jan 2015
Copper falls to October 2009 Lows
FXStreet (Mumbai) - Copper futures on Comex extended losses during the European session, inching towards fresh five year lows of 2.739 reached in the previous session, on lingering concerns over heath of the global economy.
The red metal trades now at USD 2.745/ pound, down -0.36% on the day, having posted day’s low at 2.741 earlier in the day. Copper prices continued its downtrend on concerns over economic growth prospects in China and Germany, the world’s largest metals consumers, dampened the demand outlook for the red metal, pushing the prices lower.
Moreover, adding to the losses in copper, the US dollar index, which measures the greenback against a basket of six major currencies, hovered near a twelve-year peak,. The US dollar remains supported by the diverging policy outlook between the Fed and central banks in Europe and Japan. A stronger dollar makes dollar-priced commodities more expensive for holders of other currencies.
Copper Technical Levels
Copper prices have an immediate resistance located at 2.76, above which gains could be extended to 2.78 levels. Meanwhile, support is seen at 2.739 levels, below which it can extend losses to 2.72 levels.
The red metal trades now at USD 2.745/ pound, down -0.36% on the day, having posted day’s low at 2.741 earlier in the day. Copper prices continued its downtrend on concerns over economic growth prospects in China and Germany, the world’s largest metals consumers, dampened the demand outlook for the red metal, pushing the prices lower.
Moreover, adding to the losses in copper, the US dollar index, which measures the greenback against a basket of six major currencies, hovered near a twelve-year peak,. The US dollar remains supported by the diverging policy outlook between the Fed and central banks in Europe and Japan. A stronger dollar makes dollar-priced commodities more expensive for holders of other currencies.
Copper Technical Levels
Copper prices have an immediate resistance located at 2.76, above which gains could be extended to 2.78 levels. Meanwhile, support is seen at 2.739 levels, below which it can extend losses to 2.72 levels.