Copper prices ended the week quietly in the domestic markets. The markets were facing low interest as international markets are closed for the weekend.
MCX Copper contract registered a rise of 1.1% during the week.
The shackles of Copper were too tight to be broken very easily.
The rate hike of 25 basis points by RBI on 19th March 2010, will suck additional liquidity from the system. This will be inducing some pressure on Copper going forward.
The positives going in favor of Copper are that the inventories of Copper have been going down making the supplies lessen.
The latest report from WBMS said that improved outlook on the global economy will be positive for the consumption levels of Copper.
Let's now focus on domestic markets, the demand for Copper is improving slowly. The focus on improving power generation and infrastructure development will play a key role in expanding the focus of Copper.
Benchmark Copper contract closed at Rs 339.70, per kg up Rs 4 during the week, which started on 15th March 2010.
The markets have crucial Resistances at Rs 345-350. Supports for the contract are at Rs 338-337 per kg levels.
It will be concerning to see how the markets will perform in the coming week.