Base Metals: Copper, Nickel Fall On Low Demand

Amid muted demand at the domestic spot markets, copper prices fell by 0.51 per cent in futures trading today as participants cut down positions even as metal strengthened at the London Metal Exchanger (LME).

At the Multi Commodity Exchange, copper for delivery in February fell by Rs 2.35, or 0.51 per cent to Rs 462.65 per kg in business turnover of 1,181 lots. Similarly, the metal for delivery in far-month April declined by Rs 2.25, or 0.48 per cent to Rs 466.30 per kg in 14 lots.

Marketmen attributed the fall in copper prices at futures trade to a weak trend at the domestic spot markets due to fall in demand but a firm trend at the LME, limited the fall. Meanwhile, copper for delivery in three months at the LME climbed 0.3 per cent, to near 4-year high of USD 7,267.50 per tonne.

Nickel:

Nickel prices fell 0.84 per cent to Rs 802.30 per kg in futures market today as traders engaged in reducing bet, taking negative cues from spot market due to easing demand.

However, a firm trend in metal overseas, capped the fall.

At the Multi Commodity Exchange, nickel for delivery in January declined by Rs 6.80, or 0.84 per cent, to Rs 802.30 per kg in business turnover of 1,717 lots.

Similarly, the metal for delivery in February moved down by Rs 6.20, or 0.76 per cent, to Rs 808 per kg in 17 lots.

Analysts said trimming of positions by participants on the back of subdued demand from alloy-makers in the spot markets mainly kept nickel prices lower at futures trade.