News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bullish
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bullish
Gold
Bullish
GBP/USD
Bearish
USD/JPY
Bearish
More View more
Real Time News
  • Ever wonder if there are other chart types that can be sued for technical analysis? HLOC charts are discussed in the following article as well as their pros and cons. Learn more here: https://t.co/qV3c7a4YR3 https://t.co/TIZQzitE1j
  • Commodities Update: As of 02:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.37% Gold: -0.28% Silver: -0.46% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/3xWt8YB351
  • The opening range for April raises the scope for a further decline in the US Dollar Index (DXY) as the monthly high (93.34) lines up with the first day of the month. Get your market update from @DavidJSong here: https://t.co/3iHUdOz7Oy https://t.co/ZmsEtSOICA
  • New Zealand Dollar Forecast: NZD/USD, NZD/JPY Key Levels with RBNZ on Tap - https://www.dailyfx.com/forex/market_alert/2021/04/12/New-Zealand-Dollar-Forecast-NZDUSD-NZDJPY-Key-Levels-with-RBNZ-on-Tap.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Moss&utm_campaign=twr $NZD $NZDUSD $NZDJPY https://t.co/tziU8yPkpm
  • Forex Update: As of 02:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.17% 🇪🇺EUR: -0.10% 🇨🇭CHF: -0.13% 🇬🇧GBP: -0.17% 🇳🇿NZD: -0.22% 🇦🇺AUD: -0.27% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/ALbF5MkoCp
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 93.01%, while traders in France 40 are at opposite extremes with 82.33%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/SJNlYSTnZU
  • Dow Jones, Nikkei 225, ASX 200 Outlook: Bank Earnings in Focus as US Stocks Hit Records https://www.dailyfx.com/forex/market_alert/2021/04/12/Dow-Jones-Nikkei-225-ASX-200-Outlook-Bank-Earnings-in-Focus-as-US-Stocks-Hit-Records.html https://t.co/lGG8J2ntXT
  • Is the Eurozone entering into a second debt crisis? Find out here: https://t.co/27Y8gKO0xY https://t.co/VRfjvmBq6N
  • 🇯🇵 PPI YoY (MAR) Actual: 1% Expected: 0.5% Previous: -0.6% https://www.dailyfx.com/economic-calendar#2021-04-11
  • 🇯🇵 PPI MoM (MAR) Actual: 0.8% Expected: 0.4% Previous: 0.6% https://www.dailyfx.com/economic-calendar#2021-04-11
Sparked by China & Fueled by OPEC, Copper Embarks on Major Descent

Sparked by China & Fueled by OPEC, Copper Embarks on Major Descent

Walker England, Kara Dailey,

Talking Points:

  • Beginning November 24th Copper began a week long descent trading as much as 0.20 $/lbs. lower
  • A PBC 0.25% rate cut and a ruled out production cut by OPEC were main drivers of pricing loss
  • Copper consolidates in a triangle following a 9.7% decline

After opening last week at 3.037 $/lbs. cooper has since traded as low as 2.776 $/lbs. The 26 cent discrepancy can be explained by OPEC’s recent actions as well as a series of disappointing data in two of the world’s principal producers and consumers of copper—China and the United States.

An economic slowdown in China, the world’s largest consumer of copper, initiated a drawback in the metal’s price. Following a quarter in which growth slowed from 7.5 to 7.3 percent, and a month in which industrial production fell from 8 to 7.7 percent, the People’s Bank of China transitioned to an active monetary policy, cutting the bank deposit rate by 0.25%. On the first trading day following the rates November 22nd implementation, Cooper began its week long descent. With demand down 5.8% (YoY), pricing pressures are likely to remain subdued.

A further extension to the initial price decline, following China’s rate announcement, occurred after the November 27th OPEC met in Vienna, Austria. By the conference’s conclusion the 12 member nations ruled out a production cut, in favor of retaining the current output target of 30 M b/d. As a result, oil prices immediately fell $5.81 a barrel and have only partially recovered over the ensuing three trading days. With oil prices suppressed, investors became incentivized to move their earnings to fixed income instruments, thereby leading to an appreciation of the US dollar. A stronger dollar then reduces the demand for mining commodities traded in the relatively more expensive US dollar. In the one day directly following OPEC’s announcement copper traded 10 cents per pound lower.

Subsequent to the lowest US consumer confidence report (88.7) in five months pricing losses were further magnified. Additionally, new orders for non-defense capital goods were down 1.3% in October, likely reducing the demand for copper. However as the 4th largest producer and consumer of copper, a greater than expected increase in October’s US construction spending (+1.1%) may indicate an additional demand for copper moving forward.

Copper 2H Chart

dailyfx 2h copper chart.

Chart Created by Walker England Using MarketScope2.0

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES