COMEX Copper Roundup for October 6

New York, October 6: Copper futures on the Chicago Mercantile Exchange (COMEX) rose strongly on Friday, ending the previous four consecutive days of decline, but the weekly decline was still nearly 3 percentage points.

As of the close, copper futures rose by 7.15 cents to 7.75 cents, with the most actively traded December 2023 copper closing at $3.6275/lb, up 7.55 cents or 2.13% from the previous trading day, setting a new record The largest single-day percentage point gain since September 11.

December copper futures traded in a trading range of $3.5515 to $3.645.

Copper fell 2.94% this cycle. For comparison, it rose 1.12% last week.

A weaker U.S. dollar on Friday helped copper prices find support. But copper prices still fell significantly this week on concerns that the Federal Reserve will keep interest rates higher for longer.

The non-farm payrolls data released by the United States on Friday far exceeded market expectations, strengthening expectations for further interest rate hikes by the Federal Reserve. The U.S. Department of Labor said U.S. nonfarm payroll employment increased by 336,000 last month, and the August figure was also revised upward to 227,000 jobs, instead of the 187,000 previously reported.

The U.S. dollar index, which measures the U.S. dollar against six major currencies, fell 0.26% to 105.7845 on Friday. It fell 0.03% for the week, ending its previous 11 consecutive weeks of gains. But the dollar exchange rate is still up 3.11% so far this year.

COMEX copper futures (near-term contract) have fallen 4.76% so far this year, and Friday's closing price is still 6.21% higher than the same period last year. For comparison, COMEX copper futures fell 14.58% in 2022, mainly because the global economic growth prospects are worrying, and high inflation has prompted European and American central banks to actively raise interest rates to curb inflation, which has intensified the risk of economic recession. In the medium to long term, however, the green transition of the global economy and electrification could help boost additional demand for the metal, which is widely used in the power and construction industries.

On Friday, the trading volume of COMEX copper futures was 100,463 lots, compared with 66,836 lots on the previous trading day; the short volume was 209,452 lots, compared with 209,113 lots on the previous trading day.