The base metal, copper witnessed a rise of 12% during the week. The metals price movements also affects the industrial activity. Analyst, however, attributed the same to a reaction caused by the metal breaking out of a price range, rather than viewing the gain as a sign of economic revival, reports Economic Times. Harish Gallipeli, research head, Karvy Comtrade said that a breakout of a price range caused some technical buying, was supported by the change in London Metal Exchange (LME) warehouse statistics. The benchmark LME copper price has surpassed a resistance of USD 3,350 per ton and is currently quoting near the USD 3,600 level. On the other hand, the domestic price has managed to break out of the Rs 150-175 per kg range. The depreciating rupee has added its mite to the price. A sudden rise in LME cancelled warrants- the number of warrants on materials cancelled for delivery but not necessarily taken out of the exchange warehouses - indicate more stocks are expected to be taken out of warehouses. These warrants rose to 12% of total inventory on Wednesday while total inventory also declined by 4% from its recent peak at 548,400 tons.

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