RTRS: US copper trims early losses on Wall St reversal
U.S. copper futures pared a portion of their morning losses on Monday, as traders took their cues from a rebound on Wall Street and a firmer tone in crude oil futures, but a strong dollar was seen capping the momentum.
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* Copper for May delivery HGK9 was down 2.30 cents at $1.6660 a lb by 10:19 a.m. EDT (1419 GMT) on the New York Mercantile Exchange's COMEX division.
* Morning range from $1.6260 to $1.7010.
* Benchmark May contract rallied nearly 10 percent last week, hitting its highest level since Nov. 11, at $1.7370.
* Front-month March copper HGH9 was off 2.40 cents at $1.6565.
* COMEX copper off early lows in sympathy with slight rebound in U.S. equities and rallying crude oil - traders.
* U.S. crude futures rose more than $2 to an early-session high at $48.14 a barrel. [O/N]
* Dollar-denominated copper weighed down by strong gains in the American currency.
* The dollar pushed higher on safe-haven demand from global recession fears and banking sector concerns .DXY
* Economic concerns likely to keep any significant copper price rally in check - analysts.
* U.S. job market weakened sharply in February, and has deteriorated over the last year at its worst rate in at least 35 years - The Conference Board. [ID:nN09450587]
* Data reflects gloomy jobs data last week, showing the U.S. employment rate up at a 25-year high at 8.1 percent after employers slash 651,000 jobs in February. [ID:nN06382576]
* COMEX copper's morning losses slowed by another large decline in London Metal Exchange (LME) inventories.
* LME copper warehouse fell 3,325 tonnes to 518,700, continuing a bullish trend from last week that saw more than 20,000 tonnes leave.
* The level of canceled warrants -- metal tagged to leave LME warehouses -- fell to 10 percent of total stocks, from 12 percent on Thursday. Canceled warrants were 54,100 on Monday.
* COMEX copper stocks CMWSU went down 878 short tons to 44,441 short tons as of Friday.
* Noncommercial net short position eased to 24,897 lots in the week ended March 3, from all-time record 27,494 lots the previous week. [ID:nN06420944]
* Net short position in copper remains extended. Copper vulnerable to a further squeeze higher if LME stocks continue to draw - UBS metals analyst, John Reade.
* London Metal Exchange copper for three months delivery MCU3 was last trading down $51 at $3,672 a tonne. (Reporting by Chris Kelly; Editing by John Picinich)
