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Below are Views On Copper update By Mr. Yash Sawant, Research Associate, Angel Broking Ltd.

Copper gains on a favourable outlook

MCX Copper (May’21 contract) gained over 1.8 percent surpassing the Rs.750 level mark in today’s trading session on the back of mounting supply worries, rising bets on increase in Chinese demand and a softer Dollar.

Copper Supply from Chile, a prime producing nation, was threatened after their mining union alarmed the possibility of a potential protest reflecting the governments bid to block any early withdrawals of the Chileans pensions savings.

Also, China, the largest Copper consuming nation, moving in to a period of seasonally strong demand post their winter break kept Copper prices elevated.

Further supporting the red metal prices was a weaker US Currency and plummeting inventories on the LME monitored warehouse. LME Copper inventories stood at 155,100 tonnes as on 26th April 2021, falling over 10 percent in the last 10 days.

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