Base Metals Preview: Copper Slips Amid Weak Economic Cues

19 Jan 2022 , 08:53 AM

Copper stayed under pressure yesterday amid mostly tepid economic cues. The US Builders in the single-family housing market are facing growing expenses, which is causing a turnaround in sentiment to start the year. Builder confidence fell one point to 83 in January, according to the National Association of Home Builders (NAHB)/Wells Fargo Housing Market Index (HMI). Anything above 50 is considered positive, but that is the first drop in four months. The index also stood at 83 in January 2021. European new car registrations declined for a sixth straight month in December and decreased for the whole year 2021 mainly due to the semiconductor shortage, the European Automobile Manufacturers Association (ACEA) showed Tuesday. New car registrations in the EU dropped 22.8% year-on-year to 795,295 units, after a 20.5% tumble in November. The German ZEW Indicator of Economic Sentiment rose to 51.7 in January from 29.9 in the previous month. These data updates and weak US equities dragged the COMEX Copper futures under $4.40 per pound mark, pulling it near one week low. MCX Copper also closed down 0.26% on the day at Rs 742.25 per kg.

Powered by Commodity Insights