Copper Prices Expected to Rise Amid Short Covering and Chart Factors

Copper prices are anticipated to increase in the United States on Monday as the March copper futures are expected to open trading around 3 cents a pound higher based on electronic activity ahead of the pit session on the Comex division of the New York Mercantile Exchange. The rise in copper prices is attributed to short covering and chart-based factors, as traders mentioned that Chinese markets were closed for their New Year holidays.

Key Takeaways:

• March copper futures are expected to open floor trading around 3 cents a pound higher Monday.
• The rise in copper prices is linked to short covering and chart-based factors, according to traders.
• Chinese markets were closed for their New Year holidays, potentially impacting metals prices.
• The euro has slightly decreased to $1.2975 from $1.2982 late Friday afternoon, which may impact metals prices.
• The March S&P 500 futures have decreased 0.70 point to 822.50 in screen trading ahead of the pit open.
• March crude oil has decreased 37 cents to $46.10 a barrel in overnight activity.
• U.S. economic data, including the Chicago Federal Reserve's National Activity Index and December existing-home sales, are scheduled to be released on Monday.

Statistics:

• March copper futures are expected to open trading 3 cents a pound higher.
• The euro has decreased to $1.2975 from $1.2982 late Friday afternoon.
• The March S&P 500 futures have decreased 0.70 point to 822.50.
• March crude oil has decreased 37 cents to $46.10 a barrel.

Sources:

• Dow Jones Commodities News via Comtex, Jan 26, 2009
• Allen Sykora, Dow Jones Newswires, (541-318-8765), allen.sykora@dowjones.com