LIVE FUTURES REPORT 18/10:Comex copper falls as market waits for direction

Comex copper prices consolidated into a tight range in the morning of Wednesday October 18 in the USA, with investors eyeing tomorrow's Chinese data GDP release before moving in a new direction.

Copper for December delivery on the Comex division of the New York Mercantile Exchange was down 0.10 cents or 0.1% to $3.1945 per lb. Trade has narrowed to $3.1730-3.2160 per lb.

The red metal initially surged to a three-year high on Monday before succumbing to a bout of profit-taking. Still, investors are waiting on the sidelines for tomorrow's release of China's third-quarter GDP.

There are expectations that the world's largest base metals consumer grew around 7%, which would be a welcoming sign during the Communist Party Congress meeting period.

"We remain bullish for copper's fundamentals but prices once again appear to have run ahead of the fundamentals, so the market/price is now likely to have to absorb profit-taking and near-term pricing," Metal Bulletin analyst William Adams said. "We should get a good feel for how bullish underlying sentiment is by seeing where support comes in."

Comex gold for December settlement fell $2.60 or 0.2% to $1,283.60 per oz.

Currency moves and data releases
  • The US dollar index was recently up 0.08% to 93.56. 
  • In other commodities, the Texas light sweet crude oil spot price rose 0.65% to $52.45 per barrel 
  • In US data, building permits and housing starts in September both disappointed at 1.22 and 1.13 million, respectively.
  • China’s President Xi Jinping gave his opening speech at the 19th Communist Party Congress earlier on October 18, saying China was working toward “socialist modernisation” and that “It is time for [China] to take centre stage in the world and to make a greater contribution to humankind.”
  • ECB board members Mario Draghi, Peter Praet and Benoit Coeure are speaking in Frankfurt and the US Federal Reserve’s William Dudley and Robert Kaplan will also deliver speeches later today.

Recent Base Metals News

Editor's pick