Sliding $ helps support industrial metals

Print this page Posted on : 03-27-2008 by recycleinme.com

Industrial metals prices rose on Wednesday as the dollar slipped against the euro after an upbeat German sentiment report, while copper was also boosted by shrinking stocks. Copper for three-month delivery on the London Metal Exchange was quoted at $8,200/8,220 a tonne at 1102 GMT. Stocks of copper in LME warehouses fell 2,125 tonnes to 118,050 tonnes, a fall off more than 40 per cent since the beginning of January.

SEEKING DIRECTION

Mr Thurtell said he considered metals prices to be fairly priced after a correction last week when copper fell to below $8,000 a tonne compared with a record high of $8,820 on March 6. ''Things should be pretty quiet in the coming days ahead of important US data and some end-of-the-quarter activity,'' Mr Thurtell said. US durable goods orders and new home sales data later on Wednesday could give industrial metals some direction, shedding light on demand prospects for industrial metals, traders said.

Aluminium was at $2,945/2,950 a tonne from $2,905 on Tuesday. Zinc was at $2,360/2,370 a tonne from $2,330 on Tuesday, lead was at $2,780/2,795 from $2,755, tin at $20,300/20,400 from $19,950/20,000 and nickel at $29,800/29,950 from $29,400.

Source : Business Line