Copper prices got the necessary boost in the last night trading after China announced its hefty stimulus package for the economy. However the today's session has started normally after the traders have discounted the news from China. Last night, Copper managed to cope up with the rise in inventories as well which jumped by as much as 6050 tonnes yesterday to 260850 tonnes. At the start of the year the inventories were at 198925 tonnes.
Copper contract for November expiry closed the trades at Rs 188 per kg up Rs 2, the same now trades at Rs 186.30 per kg down Rs 2. Today Copper will try to cross its Resistance at 191 and 194 levels. Supports for the contract are at 184 levels.
Shanghai Inventories data for the day showed a fall of 100 to 10272 tonnes. China has seen lack of intensity on buying front. India is already suffering from low liquidity, thanks to RBI campaign of sucking liquidity in the early half of the year. Developed markets are finding tough to fight against the Sub prime monster.
The Chinese government cleared a 4 trillion-yuan ($586 billion) investment package till 2010 to spur domestic demand and boost the slowing economy. A State Council meeting, presided by Premier Wen Jiabao, has resolved that it is necessary to adopt "proactive" fiscal and "moderately loose" monetary policies now. The Nov 5 statement marks an end to the previous "prudent" fiscal and "tightening" monetary policies because the economy now faces an increasing risk of slowing down further.
Copper contract for November expiry closed the trades at Rs 188 per kg up Rs 2, the same now trades at Rs 186.30 per kg down Rs 2. Today Copper will try to cross its Resistance at 191 and 194 levels. Supports for the contract are at 184 levels.
Shanghai Inventories data for the day showed a fall of 100 to 10272 tonnes. China has seen lack of intensity on buying front. India is already suffering from low liquidity, thanks to RBI campaign of sucking liquidity in the early half of the year. Developed markets are finding tough to fight against the Sub prime monster.
The Chinese government cleared a 4 trillion-yuan ($586 billion) investment package till 2010 to spur domestic demand and boost the slowing economy. A State Council meeting, presided by Premier Wen Jiabao, has resolved that it is necessary to adopt "proactive" fiscal and "moderately loose" monetary policies now. The Nov 5 statement marks an end to the previous "prudent" fiscal and "tightening" monetary policies because the economy now faces an increasing risk of slowing down further.
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