Copper futures soften on global cues

Copper futures prices fell by 0.66 per cent to Rs 424.35 per kg today, as speculators reduced their positions after metal declined overseas on fall in demand from China.

At the Multi Commodity Exchange counter, copper for delivery in February traded Rs 2.80, or 0.66 per cent down at Rs 424.35 per kg, with a trading volume of six lots.

The metal for delivery in April also weakened by Rs 2.80, or 0.65 per cent to Rs 426.55 per kg, with a business turnover of three lots. 

Analysts said a weak trend at the London Metal Exchange (LME), as recent rally in metal prices deterred buying in China, the largest consumer, mainly weighed on copper futures prices here.

They said rise in inventories, monitored by the LME, which touched the highest since November 10 yesterday, also weighed on the metal prices.

Meanwhile, at the LME, three-month copper dropped as much as 0.3 per cent to $9,322.25 a metric tonne, after reaching a record 9,392 a tonne on December 21.