Weak global cues drag copper futures by 0.18%

Copper prices traded lower by 0.18 per cent to Rs 445.90 per kg in futures market today as speculators reduced their positions, taking weak cues from overseas markets.

Muted demand in the domestic spot market too weighed on prices.

At the Multi Commodity Exchange, copper for delivery in April shed 80 paise, or 0.18 per cent, to Rs 445.90 per kg in business turnover of 1,493 lots.

Likewise, the metal for delivery in June contracts was trading lower by 50 paise, or 0.11 per cent, to Rs 450.80 per kg in 14 lots.

Analysts said participants reduced their holdings due to a weak trend overseas tracking a fall in equities as investors trimmed positions ahead of a Federal Reserve meeting starting later in the day, while the dollar edged upwards.

A stronger dollar makes metals more expensive for holders of other currencies and can weigh on prices.

Globally, copper for delivery in three month shed 0.3 per cent to USD 6,836 a tonne on the London Metal Exchange.