Base metals futures up on global cues, short-covering
Base metals futures, led by nickel, strengthened on the Multi Commodity Exchange on Monday, taking cues from firming global markets.
By PTI |
NEW DELHI: Base metals futures, led by nickel, strengthened on the Multi Commodity Exchange on Monday, taking cues from firming global markets.
Short-covering by traders also supported the rise in the industrial metal prices.
Nickel, the most-active, December contract shot up by 4.39 per cent at RS 660.90 per kg, with a business turnover of 12 lots, while November contract gained 3.77 per cent at Rs 647 per kg, clocking business volume of 851 lots.
The base metals, which had melt to reach three-year lows in the global markets, also rose on reports that slowing demand growth forced some smelting units to shut plants or cut outputs, which will reduce supply in the markets.
"Recovery in the global equity markets and bargain buying at lower levels mainly influenced the metal prices at futures market here," said G Harish of Karvy Comtrade.
"Pick-up in demand in the physical markets was an additional factor behind recovery in the prices," he added.
At the LME, copper traded 116 dollar higher at $4,270 per tonne.
In tandem with other base metals, lead for December contract inched up by 0.79 per cent at Rs 76.45 per kg with business turnover of two lots, while November contract gained 0.67 per cent at Rs 75.60 per kg.
Zinc's December contract rose by one per cent at Rs 60.50 per kg in a turnover of 26 lots, while November contract gained 0.69 per cent at Rs 58.35 per kg.
Short-covering by traders also supported the rise in the industrial metal prices.
Nickel, the most-active, December contract shot up by 4.39 per cent at RS 660.90 per kg, with a business turnover of 12 lots, while November contract gained 3.77 per cent at Rs 647 per kg, clocking business volume of 851 lots.
The base metals, which had melt to reach three-year lows in the global markets, also rose on reports that slowing demand growth forced some smelting units to shut plants or cut outputs, which will reduce supply in the markets.
"Recovery in the global equity markets and bargain buying at lower levels mainly influenced the metal prices at futures market here," said G Harish of Karvy Comtrade.
"Pick-up in demand in the physical markets was an additional factor behind recovery in the prices," he added.
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Copper for far-month February contract gained 1.53 per cent at Rs 218.60 per kg in a turnover of 499 lots, while November contract moved up by 1.39 per cent at Rs 214.45 per kg, clocking turnover of 4,818 lots. At the LME, copper traded 116 dollar higher at $4,270 per tonne.
In tandem with other base metals, lead for December contract inched up by 0.79 per cent at Rs 76.45 per kg with business turnover of two lots, while November contract gained 0.67 per cent at Rs 75.60 per kg.
Zinc's December contract rose by one per cent at Rs 60.50 per kg in a turnover of 26 lots, while November contract gained 0.69 per cent at Rs 58.35 per kg.
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Aluminium for delivery in November climbed by 1.60 per cent at Rs 101.50 per kg, with business turnover of three lots.Too busy to trade in stocks? Invest in Mutual Funds with ET Money!
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