Copper falls by 0.5% on global cues

Copper prices moved down by 0.54% to Rs 342.50 per kg in futures trade today as speculators reduced their exposure amid a weak trend overseas and low demand in the spot market.

Copper for delivery in far-month November shed Rs 1.85, or 0.54%, to Rs 342.80 per kg in a business turnover of 67 lots at the Multi Commodity Exchange.

Likewise, the metal for delivery in August traded lower by Rs 1.80, or 0.53%, to Rs 336.80 per kg in 1,966 lots.

Analysts said the fall in copper prices at futures trade was largely in tune with a weak trend at the London Metal Exchange (LME) as industrial metals retreated before US manufacturing, inflation and housing data this week that may give more clues on the timing of a Federal Reserve rate rise.

Besides, low demand from domestic industries too had negative impact, they said.

Meanwhile, copper for delivery in three months retreated 0.6% to $5,132.50 a metric tonne at the LME, while at Shanghai, the metal lost 0.5%.