Laid low by global losses

DOMESTIC REVIEW/ NON-FERROUS METALS

The domestic non-ferrous market lost steam last week as copper lost value overseas. Except for tin slabs all other metals declined in terms of prices. Tin slabs jumped from Rs 451 to Rs 465.

On the COMEX, a division of New York Merchantile Exchange, May copper slipped from $1.3770 at the beginning of April to a roughly five-week low of $1.2590 earlier last week, then consolidated until Friday's sharp rebound.

Price of copper wire bars declined from Rs 179 to Rs 176 per kg. Copper utensil scraps marginally fell from Rs 135.50 to Rs 134 and copper heavy scraps lost slightly from Rs 158.50 to Rs 157.

Aluminium utensil scraps fell sharply from Rs 90 to Rs 80 and aluminium ingots held steady at Rs 94.50.

Brass sheet cuttings fell from Rs 106.50 to Rs 103, while brass utensil scraps declined from Rs 101.50 to Rs 99.

Zinc slabs fell eroded marginally from Rs 73.50 to Rs 72. Lead ingots lost from Rs 51.50 to Rs 50.

Meanwhile, Comex May copper futures were called to open around 65 points higher Monday after a solid showing overnight on the London Metal Exchange in which three-month prices pushed to eight-day highs of $2,962.50 per metric ton.

Traders said tightness in the cash-to-forwards spreads was offering support to nearby prices at the moment and would likely keep prices higher- facing over the near to medium term.

Also expected to buoy prices was news Friday of a further lightening in fund long exposure to the market, which indicated that genuine physical interest has been behind the recent perkier tone.

Upside targets for May copper futures include 135 cents per pound initially, followed by 135.50 and 136 cents. Comex May copper closed at 134.25 cents Friday, up 540 points. LME warehouse stocks were down 2,575 tons at 157,325t Friday, while Comex stocks were down 1,910 short tons Thursday at 193,316 short tons.