Copper falls by 0.5% on sluggish demand

Copper prices fell further by 0.46% to Rs 302.75 per kg in futures trading today as participants engaged in reducing their positions, tracking a weak trend at spot market on low demand even as the metal strengthened overseas.

At the Multi Commodity Exchange, copper for delivery in February declined by Rs 1.40, or 0.46%, to Rs 302.75 per kg, in a business turnover of 2,099 lots.

Similarly, the metal for delivery in far-month April traded lower by Rs 1.10, or 0.36%, to Rs 307.10 per kg in 68 lots.

Analysts said offloading of positions by traders on the back of subdued demand at domestic spot market, mainly influenced copper prices at futures trade.

However, firm global trend where most industrial metals rose as the dollar retreated to a three-month low amid prospects for a delay in the tightening of US monetary policy, restricted the fall, they said.

Meanwhile, copper for delivery in three month climbed 0.7% to $4,474 a metric tonne on the London Metal Exchange (LME).