Copper futures prices are gleaming amid lower metals futures prices, rising on a continued optimistic economic outlook from the world’s biggest importers.
December copper exploded higher after the U.S. presidential election due to the idea that the copper industry may see growth, according to analysts. Housing and auto industries are expected to improve as well as trade relations with China, which generally tends to add to demand as the country is the number one importer of American goods such as copper and cotton.
The December contract in copper futures was up 1.21 percent at 2.6265 in mid-morning commodities futures trading, after an earlier low of 2.54. At the beginning of the week, prices sank as the commodities futures markets participants offloaded positions ahead of the November contract expiration, and as some metals futures fell due to low demand.
Meanwhile in the rest of the metals futures sector of commodities futures markets, December gold futures prices were down 1.45 percent at 170.70, while December silver futures were down 1.24 percent at 16.455.
The economic calendar was full of notable reports for the commodities futures markets to contemplate while waiting for Friday’s October Employment report.
Personal Income for October rose 0.3 percent in October compared to an expected 0.5 percent increase, according to the U.S. Conference Board. Consumer spending is two-thirds of the nation’s GDP and is closely watched by economists. Meanwhile, personal income rose 0.6 percent in October, higher than most economists’ expectations of an increase of 0.4 percent.
The November reading of the Chicago Purchasing Managers Index jumped to 57.6 in November, its highest level since January 2015, according to MNI Indicators. Economists had expected a reading of 52.
The October Core Personal Consumption Expenditure Price Index was up 0.1 percent in
Private companies added a net 216,000 positions during October, soaring past the 165,000 estimate from economists and the highest since June, according to the ADP Employment report.
Pending Home Sales rose 0.1 percent in October, according to the Pending Home Sales Index from the National Association of Realtors. The index was in line with expectations, though 1.8 percent higher than October of 2015. Analysts say demand for housing is high but supply continues to weaken across much of the nation and is well below 2015 levels.
The Fed’s November Beige Book is due for release this afternoon.