RTRS: Copper edges up on weaker dollar; gains capped
LONDON, Sept 22 (Reuters) - Copper firmed on Wednesday,
lifted by a weaker dollar after the U.S. Federal Reserve said it
was ready to provide more support for the economy, but traders
said the metal lacked fresh impetus to press higher.
"We had a weak close yesterday, theoretically copper should
be on its way down," one LME trader said. "There isn't any
trigger for copper to go any higher, none at all."
The metal, used extensively in construction and wiring, has
hit a five month high of $,7750 a tonne on Monday. Traders said
liquidity was thinned due to the Chinese holidays.
The Federal Reserve on Tuesday inched closer to fresh steps
to bolster a sluggish U.S. recovery, saying it stood ready to
provide more support for the economy and expressing stronger
concerns about low inflation. [ID:nN20109053]
PRICES
* Three-month copper CMCU3 on the London Metal Exchange
was trading at $7,715 a tonne compared with $7,680 a tonne at
the close on Tuesday.
* Aluminium CMAL3 was at $2,186 a tonne from $2,175 a
tonne.
DATA/EVENTS
* Eurozone industrial new orders due at 0900 GMT.
* LONDON - Bank of England (BoE) to publish minutes of Sept.
8-9 Monetary Policy Committee (MPC) meeting.
* BERLIN - Germany Finance Minister Wolfgang Schaeuble to
speak at CDU Meeting on Budget - 1600 GMT
* CARDIFF, UK - The Bank of England's chief economist and
monetary policy committee member Spencer Dale speaks at Cardiff
Business School - 1730 GMT
* NEW YORK - Prime Minister of Greece, George Papandreou,
Speaks at Lunch Meeting of the Economic Club of New York - 1615
GMT
* WASHINGTON - Assistant Treasury Secretary for Financial
Institutions Michael Barr speaks before the Corporation for
Enterprise Development (CFED) biennial conference, "The Assets
Movement at Its Moment: Creating the Save & Invest Economy" -
1800 GMT
* ANTWERP, BELGIUM - Metal Bulletin's 4th Steel Logistics
conference (to Sept 22). Link:
here
[ECI/US] [ECI/EURO] [ECI/GB]
[M/DIARY] [MTL/DIARY]
MARKET NEWS
* The dollar fell on Wednesday to its weakest level on the
yen since Japan intervened last week, fuelling speculation of
more intervention after the Federal Reserve raised expectations
it would print more dollars to help the U.S. economy. [FRX/]
* Expectations that the Federal Reserve is moving closer
toward printing more money to support the U.S. economy lifted
both stocks and bonds. [MKTS/GLOB]
* Oil rose past $75 on Wednesday, as a weaker dollar allowed
it to shrug off an industry report showing surprise gains in
U.S. inventories. [O/R]
* European stock index futures rose early on Wednesday,
indicating a stronger start for equities, as sentiment improved
after the Federal Reserve inched closer to fresh steps to
bolster a sluggish U.S. recovery. [.EU]
FUNDAMENTALS
* Panama is poised to repeal a law preventing foreign
government investment in mining projects, clearing the way for a
$5 billion plan by Canada's Inmet Mining (IMN.TO) to build the
largest copper mine in Central America. [ID:nN20269135]
* Rescuers could free 33 miners weeks earlier than expected
as drills work around the clock to bore an escape shaft to the
men trapped underground for 47 days. [ID:nN21140313]
* Star commodities trader Paul Touradji's hedge fund fell
again in August after a strong rise in July, performance data on
Tuesday showed, highlighting a difficult year for many money
managers. [ID:nN21198324]
TECHNICALS
* Copper support at $7,500, resistance $7,800 and 14-day RSI
at 62.6.
* Aluminium support at $1,980, resistance at $2,190 and
14-day RSI 62.4.
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