FXS: BASE METALS: Comex Copper Seen 10 Cents Higher At Pit Open
BASE METALS: Comex Copper Seen 10 Cents Higher At Pit Open
By Matt Whittaker
Of DOW JONES NEWSWIRES
NEW YORK (Dow Jones)--December copper futures are expected to open floor trading around 10 cents higher Wednesday, based on electronic activity ahead of the pit session on the Comex division of the New York Mercantile Exchange.
In overnight activity, the base metals rally continued Wednesday in Europe, helped by higher equities markets and a weaker U.S. dollar against major currencies, as better risk appetite and continued short-covering pushed metals up.
In other markets that have the potential to impact metals in the short term, the euro is up to $1.2811 from $1.2781 late Tuesday afternoon. In screen trading ahead of the pit open, the December S&P 500 futures were up 4.30 points to 943.00. December crude was up $2.98 to $65.71 in overnight activity.
U.S. economic reports on Wednesday include:
- September durable goods at 8:30 a.m. EDT (1230 GMT), with total orders expected down 1.1%; - Oct. 24 oil inventories at 10:35 EDT (1435 GMT), with crude oil stocks expected up 1.6 million.
The two-day FOMC meeting continues Wednesday, with an interest rate announcement expected around 2:15 p.m. EDT.
In New York on Tuesday, stronger equities markets and short covering boosted copper futures as some observers interpreted a potential government lifeline for General Motors as bullish for the metal's demand outlook. December copper gained 5.35 cents, or nearly 3%, to settle at $1.8585 a pound.
Inventories of copper stored in London Metal Exchange warehouses rose 1,750 metric tons Wednesday, leaving them at 217,300. The most recent Comex inventory data, released late Tuesday afternoon, were unchanged at 9,892 short tons.
-By Matt Whittaker, Dow Jones Newswires; 201-938-5959; matt.whittaker@dowjones.com
