ICSG Report Pressurizes Copper

Copper......

International Copper Study Group (ICSG) report was expected to create ripples in the metals markets and this is exactly what has happened. The LME three month Copper prices declined by 1.2 percent to $ 7011.5 per tonne on Monday trades. Last week, Commitment of Traders had slashed their short positions of the metal in COMEX indicating that some respite can be seen in Copper selling. International Copper Study Group (ICSG) has mentioned in its yearly forecast that Copper was in deficit of 400000 tonnes in the year 2012 but that was before the calculation of unreported inventories in warehouses of China. The biggest Copper consuming nation China had unreported inventories of 600000 tonnes. Last week, COT report showed that total net short positions moved down by 78 percent to 5951 contracts this week from 27504 contracts on 16 April 2013. The total short positions declined by 7516 contracts taking total short contracts number to 46075 contracts 53591 contracts. Long contracts increased by 4197 contracts and were at 30284 contracts from 26087 contracts a week before. MCX Copper was trading at Rs 380.2 per kg, down 0.55 percent. The metal tested a high at Rs 382.6 per kg and a low of Rs 379.4 per kg. Source by Commodity Insights