BLBG: India copper extends losses as recession fears grow
MUMBAI, Oct 31 (Reuters) - Indian copper futures extended their previous session losses and plummetted more than 4 percent as growing recession fears triggered a broad-based commodity sell off, analysts said.
Copper has fallen more than 35 percent in October as growing recession fears raised worries about the demand for industrial metals and dented investor appetite.
"Base metals are expected to slide further as there is no significant trigger to aide a pullback," said Roopa Kataria, analyst with Anagram Securities Ltd.
At 5.45 p.m., benchmark November copper MCCX8 on the Multi Commodity Exchange of India (MCX) was down 3.87 percent at 199.7 rupees per kg.
Prices also fell on Friday tracking data that showed a contraction in the U.S. economy, the second largest consumer of industrial metals.
U.S. gross domestic product shrank at a 0.3 percent annual rate in the third quarter, which is the sharpest pullback by consumers since 1980. [ID:nN30534111]
The dollar, which rose against major currencies on Friday as global share prices fell on fears of a possible recession, also weighed on sentiment.
Shanghai copper stocks fell 20 percent or 6,265 tonnes to 24,788 tonnes in the week ended Thursday, but failed to underpin sentiment.
In industry news, Chile's Codelco, the world's largest copper producer, said its copper output fell 8.2 percent in the first nine months of the year, citing a strike by subcontract workers and falling ore grades. [ID:nN30290469
Nickel, zinc and lead futures also extended declines as continuing demand worries pushed prices down.
At 5.46 p.m., benchmark October nickel MNKV8 was down 4.58 percent at 548 rupees per kg.
October zinc MZIV8 was down 1.82 percent at 53.8 rupees and lead for October delivery MLDV8 was down 1.17 percent at 71.9 rupees per kg from the previous close.