MUMBAI: India copper futures edged higher on Thursday evening tracking overseas leads, with a weaker rupee supporting, analysts said.
The most-active June copper on Multi Commodity Exchange was trading 0.68 per cent higher 304.55 rupees per kg at 6:12 p.m. London copper rallied, boosted by a stronger tone in global equities, a weaker dollar and upbeat copper products output data from Japan, the world's second largest economy.
The Indian rupee dipped to a one-week closing low, after the dollar erased losses as Greek debt spreads widened and triggered demand for the US currency from local importers. A weaker rupee makes the dollar-quoted asset expensive. "Copper would be range-bound, and moves would be data dependent, range seen is 292-309 rupees," said Praveen Singh, analyst with Sharekhan Commodities.
Copper may be in the range of 298-306 rupees, said Tejas Seth, senior analyst with SMC Comtrade.
Zinc continued its rally supported by falling stockpiles in the warehouses monitored by the London Metal Exchange. Zinc stocks continued to fall to be at 616,950 tonnes, down 900 tonnes from a day earlier. Zinc June was trading 1.74 per cent higher at 84.75 rupees per kg, while lead for June delivery was trading 0.42 per cent higher at 83.65 rupees per kg.
"Zinc will face resistance at 86 rupees, support is placed at 81 rupees," said Seth. Nickel for June delivery was trading 0.58 per cent higher at 903.10 rupees per kg. Nickel may trade in the range of 880-915 rupees, said Seth.
