Copper Prices Sliding On Chinese Slowdown Concerns
Major concerns were raised on Monday on continued demand from China which sent the copper price and main industrial metals sliding yesterday. Covid continues to be a pest in China, with lockdowns in major cities and ports suffering backlogs of unloading ships.
After China promised more support to revive an economy which has been ravaged by the virus, some of Monday’s losses were recouped by copper prices.
Copper rose to 2.3% in China on Tuesday as the central bank of the country pledged to boost monetary support for the economy, particularly for small businesses that were hard hit by the pandemic.
The overall picture is that China’s weaker demand is eclipsing supply concerns. These were raised after Russia invaded neighboring Ukraine in late February.
It is surprising that copper prices did not change much in Q1, whereas most commodities have risen after Russia went into Ukraine.
Many bearish bets have been placed on Copper Futures by fund managers who see the China Covid problem getting worse before it gets better.
About Pete Southern
Pete Southern is an active trader, chartist and writer for market blogs. He is currently technical analysis contributor and admin at this here blog.
Most Popular Content
- Gold Prices Slip Ahead of Anticipated Economic Data
- Oil Prices Surge From Lows Amid Mixed Global Signals
- U.S. Stock Indices: A Dance Between Optimism and Fear
- Gold Prices Dance with CPI Data and the Fed
- Oil Prices Surge Amid Record Demand and Supply Tightening
- Gold Steady As US Dollar Index Tries to Make Gains
- Some Respite for Crude Oil within Bear Trend
- Oil Prices Gain Some Ground Due to Iraqi / Kurdistan Stand Off
Currency Articles - May 22, 2019 15:21 - 0 Comments
The Pound is in Freefall – When Will It Stop?
More In Currency Articles
- GBP Gets Ready for an Unpredictable Day with Meaningful Vote 2
- British Pound Stays Strong Whilst The Dollar Remains Weak