BA:The European crisis continue to exert pressure Copper as prices were trading relatively flat
The European crisis continue to exert pressure Copper as prices were trading relatively flat at the Multi-Commodity Exchange of India (MCX).
MCX Copper November contract was trading flat at 418.30 at evening trade after opening Tuesday morning at 418. 40
-Demand for Italian bonds during the action was pretty weak and Rome had to pay a heavy price in order to borrow from the market. The Euro fell instantly after Market News International had reported that China may not be buying Italian Debt.
As such, the possibility of the European crisis snowballing into an economic catastrophe remains very strong with most analysts certain that the Greek default is almost inevitable. A Bloomberg report had earlier pegged the chances of Greece defaulting at 91% .
GEOJIT Comtrade view:
MCX Copper November: Dips to 414/412 could call for 420/424 now. A direct fall below 410 could dent this bullish view.
