Copper Futures Expected to Open Lower on Monday

Strategic Insights -

Monday's start of floor trading for July copper futures is anticipated to show a decline of 7 cents, based on electronic activity prior to the pit session on the Comex division of the New York Mercantile Exchange. The drop is attributed to a stronger dollar against the euro and lower equities in the base metals market on the London Metal Exchange. The weakening of the euro to $1.2961 from $1.3041 in the late Friday afternoon session also played a role. Elsewhere in the market, the June S&P 500 futures are down 12.70 points to 854.10, and May crude is down $2.64 to $47.69 in overnight activity.

Key Takeaways:

  • July copper futures are expected to open 7 cents lower on Monday due to a stronger dollar and lower equities.
  • The decline in base metals on the London Metal Exchange is attributed to a stronger dollar against the euro and lower equities.
  • The weakening of the euro to $1.2961 from $1.3041 in the late Friday afternoon session is also a contributing factor.
  • June S&P 500 futures are down 12.70 points to 854.10, indicating downward market pressures.
  • May crude is down $2.64 to $47.69 in overnight activity, further highlighting market volatility.
  • U.S. economic reports on Monday include the Chicago Fed national activity index at 8:30 a.m. EDT (1230 GMT) and the Conference Board index of leading economic indicators at 10 a.m. EDT (1400 GMT).
  • Inventories of copper stored in London Metal Exchange warehouses fell 7,300 metric tons Monday, leaving them at 462,325.
  • The most recent Comex inventory data, released late Friday afternoon, show an increase of 64 short tons at 47,608 short tons.

Statistics:

  • July copper futures expected to open 7 cents lower on Monday.
  • June S&P 500 futures down 12.70 points to 854.10.
  • May crude down $2.64 to $47.69 in overnight activity.
  • Euro down to $1.2961 from $1.3041 in late Friday afternoon session.
  • Copper inventories stored in London Metal Exchange warehouses fell 7,300 metric tons Monday.
  • Current copper inventories stand at 462,325 metric tons.
  • Latest Comex inventory data show an increase of 64 short tons at 47,608 short tons.

Sources:

  • Dow Jones Commodities News via Comtex.
  • London Metal Exchange.
  • Comex division of the New York Mercantile Exchange.
  • Dow Jones Newswires.