3rd DECEMBER 2014 REPORT ON BASE METALS AND ENERGY

Base Metals & Energy

Daily Buzz

COPPER:

Copper prices fell by 0.83 per cent on Tuesday at the domestic markets after weak Chinese and Euro area manufacturing data showed that factories had grinded to a halt which in turn educed the demand prospects for the industrial metal. China’s manufacturing gauge slumped to the no-change 50 mark last month from 50.4 in October, while that in the Euro area fell to 50.1 from 50.6. At the MCX, copper futures for February 2015 contract were trading at Rs.400.20 per 1 kg, down by 0.83 per cent, after opening at Rs. 400.85 against the previous closing price of Rs. 403.55. It touched the intra-day low of Rs. 400.10 till the trading. (At 11.33 AM).

ZINC:

Zinc prices fell by 1.22 per cent on Tuesday at the domestic markets as ongoing concerns over the health of China's economy weighed. A pair of reports on Chinese November factory activity released Monday provided more evidence of a slowdown in the world's second largest economy. China's manufacturing purchasing managers' index slipped to an eight-month low of 50.3 in November while China HSBC final manufacturing PMI hit a six-month low of 50.0 last month, unchanged from a preliminary estimate and down from 50.4 the previous month. Zinc futures for December 2014 contract, at MCX, were trading at Rs 137.25 per kg, down by 1.22 per cent after opening at Rs. 138.40 against the previous closing price of Rs. 138.95. It touched the intra-day low of Rs. 137.10 till the trading. (At 4.20 PM).