Copper rises 0.4% on global cues

Copper prices were up by 0.39% to Rs 416.80 per kg in futures trade today after speculators enlarged positions, tracking a firming trend in the global market.

Better demand for the metal at the spot markets supported the upside.

At the Multi Commodity Exchange, copper for delivery in November rose by Rs 1.60, or 0.39%, to Rs 416.80 per kg, with a business turnover of 4,583 lots.

February copper traded higher by Rs 1.55, or 0.37%, to Rs 423.45 per kg, with a business turnover of 304 lots.

Marketmen said the rise in copper prices at futures trade was in line with a firm trend at the London Metal Exchange (LME) as the Chinese congress started in Beijing today in a once-a-decade power transfer amid mounting pressure on officials to expand stimulus after the economy in the biggest metals consumer slowed for seven quarters.

Pick up in spot demand influenced prices, they said.

Meanwhile, copper for delivery in three months climbed 0.5% to $7,644 per tonne at the LME. The metal fell to a two-month low of $7,563.25 yesterday on concern that possible US tax increases and spending cuts in January and a slowing European economy will curb demand.