Copper Speculators Increase Long Positions, Prices Underpinned

Large metals speculators raised their bullish net positions in the Copper Futures markets this week, according to the latest Commitment of Traders (COT) data released by the Commodity Futures Trading Commission (CFTC) on Friday.

Indian Copper was trading at Rs 468 per kg, up 1.3%. The metal is due to reach Rs 475 per kg if current trend continues. On the lower side Rs 464 per kg is expected support.

The non-commercial futures contracts of Copper futures, traded by large speculators and hedge funds, totaled a net position of 36,355 contracts in the data reported through Tuesday May 15th. This was a weekly lift of 2,903 contracts from the previous week which had a total of 33,452 net contracts.

Speculative positions rebounded this week after declining for two weeks in a row. The overall net position has remained above the +30,000 net contract level for five consecutive weeks.

The commercial traders position, hedgers or traders engaged in buying and selling for business purposes, totaled a net position of -41,277 contracts on the week. This was a weekly loss of -2,050 contracts from the total net of -39,227 contracts reported the previous week.