Base Metals Preview: Copper Supported By Positive Equities

20 Sep 2022 , 09:06 AM

Copper is up by nearly half a percent on Tuesday, tracking recovery in US equities overnight. The major averages reached new highs late in the session, ending the day firmly positive. The Dow rose 197.26 points or 0.6 percent to 31,019.68, the Nasdaq advanced 86.62 points or 0.8 percent to 11,535.02 and the S&P 500 climbed 26.56 points or 0.7 percent to 3,899.89. Meanwhile, Chinas central bank conducted a reverse repo operation at a lower rate on Monday in order to improve liquidity in the financial system, the latest move in a series of measures undertaken to support a slowing economy. However, expectations of rate hikes by central banks to curb inflation that is likely to impact global growth and affect demand is expected to continue to add pressure on the red metal. Copper is up 0.50% at $3.54 per pound. Powered by Commodity Insights