Copper futures on the Multi Commodity Exchange of India (MCX) showed a smart recovery during the week ended Friday on reports of strong Chinese demand and a growing faith in the economic recovery. Copper August 2009 contracts were traded at Rs 256 per kg on Friday, up by 6.6% over the previous week. LME copper traded above $5,100 on Wednesday and traded higher at $5,209 on Friday on hopes of a global economic recovery. Stockpiling by China, which imported an estimated 1.8 million tonne of refined copper in the first half of the year–almost a quarter of all copper produced outside China during the period–has dragged down LME stocks to around 2.55 lakh tonne, less than half of their February peak.
Crude oil August 2009 futures were higher by Rs 150 or 5.12% to trade at Rs 3,078 per barrel on Friday. After trading as high as $73 a barrel, crude oil began to buckle under pressure and settled at $63.10 per barrel on Friday as the CFTC began to look into position limits that can be held by traders.
?Rallies above the immediate resistance of Rs 3,078 could target Rs 3,120/3,215 levels. Unexpected falls below Rs 3,038 may negate the bullish view and can drag prices lower towards Rs 3,005/2,974 levels,” an analyst with Geojit Comtrade said.
Gold August 2009 contracts were quoted at Rs 14,739 per 10 gram on Friday, up by 1.68% over the previous week. London gold traded firm below $937 as strong dollar and gaining stock markets worldwide reduced the allure for the yellow as a safe haven investment.
Silver September 2009 contracts were higher by Rs 522 to trade at Rs 21,778 per kg on Friday. Silver was traded higher at $13.41 an ounce.