IND: Copper Markets In Panic Mode As Dollar Appreciates
Strong appreciation of Dollar against the EURO has sent shivers bin the spine of Copper. The markets have corrected by more than 1.5% on MCX and further selling probability is on the cards.
Dollar appreciated after the news that the European central bank may exit from the stimulus packages by Q1 2011. This intensified the already thrashed EURO. Dollar now quotes at 1.2704, up 120 pips against the EURO.
Markets already gobbled the news of rising jobless claims from the US last night and with profit booking intensifying one can expect more fireworks before weekend.
The labor department report showed that there was unexpected increase in jobless claims. The report showed that the initial jobless claims rose to 500000 from the previous week's revised figure of 488000.
Shanghai Copper closed the trading sharply down by 1030 yuan per tonne to 57050 per tonne. COMEX Copper is down by 5 cents at $ 3.2635 per lb.http://www.indiainfoline.com/Markets/News/Copper-Markets-In-Panic-Mode-As-Dollar-Appreciates/3260756114
MCX Copper is at Rs 335.9 per kg, down Rs 5. Supports for the contract are at Rs 334.8 per kg, breaking which some sharp sell-off is expected.
