Copper futures have been stalled lower for the last two trading sessions ahead of China’s “National People’s Congress” annual meeting to be held Thursday. Copper futures closed up slightly – at $2.6595 per pound in today’s trading at the New York Commodity Exchange.
Investors and traders of copper futures understand how important a meeting this with China being the world’s largest consumer of the industrial metal – accounting for almost 40% of the world’s consumption last year. Just yesterday copper futures plummeted with concerns over the outlook of China’s economy and the appeal of the industrial metal with a stronger US dollar.
“We’re looking forward to the official assessment of the Chinese economy by the officials themselves,” said Barb Levy, chief director for The Fox Group’s futures division in Chicago, sharing her fundamental analysis regarding the current copper futures situation. Levy added, “Most analysts predict a revised lower growth target with further stimulus measure forthcoming.”
The trend for copper futures is at a crossroads. The technical trend is up, however a breakout above Monday’s high’s will change everything in my view.
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