Copper prices edged higher to Rs 522.70 per kg on September 28 as participants increased their long positions, as seen by the open interest.
The base metals traded higher, tracking weakness in the US dollar. The dollar index, measured against a basket of six currencies, slipped 0.43 percent to trade at 94.27.
Copper prices were supported by the low inventory at LME warehouses and robust demand in China.
According to ICSG data global refined copper balance through June plunged to an apparent deficit of 235,000 metric tonnes after reaching a surplus of 130,000 metric tonnes at the end of first quarter.
Tapan Patel, Senior Analyst (Commodities), HDFC Securities said, “Traders and investors are awaiting for key manufacturing PMI data from China and US this week which may boost volatility in prices. The dollar index pared some gains on Monday amid uncertainty over US aid package and upcoming US presidential election debate.”
MCX iCOMDEX Base Metal Index jumped 169.67 points, or 1.47 percent, at 11,696.08 at 18:57.
In the futures market, copper for October delivery touched an intraday high of Rs 522.70 and a low of Rs 517 per kg on the MCX. So far in the current series, the precious metal has touched a low of Rs 501.85 and a high of Rs 532.60.
Copper delivery for October surged Rs 5, or 0.97 percent, to Rs 521.65 per kg at 18:58 hours with a business turnover of 4,008 lots. The same for September contract rose Rs 2.85, or 0.54 percent to Rs 534 per kg with a turnover of 312 lots.
The value of September and October’s contracts traded so far is Rs 21.05 crore and Rs 1,535.81 crore, respectively.
Patel expects with MCX Copper October support at Rs 510 and resistance at Rs 525 for the week ending October 2.
At 1331 (GMT), the red metal price gained 0.79 percent quoting at $6,607 per tonne in London.For all commodities related news, click here