Copper Remains Bullish As World Markets Overcome Slow Growth Fears

Copper Remains Bullish As World Markets Overcome Slow Growth Fears   

Indian Copper prices ended at Rs 330.75 per kg, up 1.02%. The prices are gaining momentum to now test Rs 336 per kg. When last checked Copper had gains of 1.24% under its belt. Comex Copper was also up 1.5% to trade at $ 2.27 per pound.

Copper prices remained bullish in the session and tried to test new avenues not seen since August last year. World stock markets climbed to their highest in almost five months on Thursday after a surge in oil prices boosted risk appetite, while the euro steadied ahead of a European Central Bank meeting. This has created a buying spree in riskier asset classes like Copper.

The latest released reports from International Copper Study Group (ICSG) mentioned that global world refined copper market showed a 56,000-tonne surplus in January, compared with a 50,000-tonne deficit in December, the International Copper Study Group (ICSG) said in its latest monthly bulletin.

World Bureau of Metal Statistics (WBMS) has come out with its report on metals. The agency has mentioned that copper market recorded a surplus of 120000 tonnes in January to February 2016 which follows a surplus of 463000 tonnes in the whole of 2015. Reported stocks rose during February and closed 107000 tonnes higher than at the end of December 2015.

World mine production in January to February 2016 was 3.27 million tonnes which was 7.9 per cent higher than in the same period in 2015. Global refined production rose to 3.97 million tonnes up 8.3 per cent compared with the previous year with a significant increase recorded in China (up 203 kt) and Chile (up 15 kt).

Global consumption for January to February 2016 was 3850 kt compared with 3434 kt for the same months of 2015. Chinese apparent consumption in January to February 2016 rose by 483 kt to 2033 kt compared to the same months of 2015 which represented 53 per cent of global demand. EU28 production fell by 0.4 per cent and demand was 493 kt, 5.5 per cent below the January to February 2015 total.