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India copper futures to open lower; gold up.


Date: 24-09-2009
Subject: India copper futures to open lower; gold up
MUMBAI, Sept 24 (Reuters) - India's copper futures may open slightly lower on Thursday on demand worries from China, analysts said.

The most-traded November contract MCCX9 on the Multi Commodity Exchange of India (MCX) ended 1.6 percent lower at 299.20 rupees per kg in the previous session.

November copper may open lower at 296 rupees, said Aurobinda Prasad, deputy manager-research, Karvy Comtrade in Hyderabad.

"The Chinese import data would continue to weigh on prices," said Prasad.

China's imports of refined copper in August fell by one-quarter versus the month before, as expected, a second consecutive monthly decline as rising domestic stocks and weak prices brought a halt to record buying. See [ID:nHKG189580]

"The strategy is to sell on rallies in Copper on falling China imports and rising inventory in LME," said Kunal Shah, an analyst with Nirmal Bang Commodities.

"Selling could be initiated at 303/304, with a stop loss of 308.50, with a target of 294/295," Shah added.

The September zinc contract MZIU9 closed 0.9 percent lower at 90.90 rupees per kg, while lead for September delivery MLDU9 ended 2.1 percent lower at 106.90 rupees per kg in the previous session.


India's gold futures may open slightly higher tracing overseas leads, with investors continuing to eye the movements in dollar for direction, analysts said.

The benchmark October gold MAUV9 closed up 0.1 percent at 15,837 rupees per 10 grams in the previous session.

The contract is likely to open at 15,840-15,845 rupees per 10 grams, said Abhishek Chauhan, technical analyst, Angel Commodities.

International gold, which guides the domestic market, rallied to trade around $1,010 as the precious metal continued to look to the dollar for direction, though a sense of caution prevailed due to the threat of heavy liquidation of futures positions. See [ID:nT38762]

"Trading range would be 15,766-15,886 rupees," said Krishna Reddy, an analyst with Way 2 Wealth Securities.

Source : REUTERS

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