Investing.com - Copper futures rose for the first time in four days on Thursday, rebounding from a three-month low as market sentiment improved after a European Central Bank official hinted at the possibility of more bond buying to help indebted euro zone member Spain, though concerns over the global economic outlook remained.
On the Comex division of the New York Mercantile Exchange, copper futures for May delivery traded at USD3.675 a pound during European morning trade, climbing 1%.
It earlier rose by as much as 1.35% to trade at a session high of USD3.683 a pound. On Wednesday, prices fell to USD3.630, the lowest since January 16.
Market sentiment formed up after ECB Executive Board member Benoit Coeure said Wednesday that the central bank still had its bond-buying program available as an option to ease pressure on the Spanish bond market.
Copper prices tumbled nearly 4% on Tuesday amid growing fears Spain will be the next country in the euro zone to require a bailout.
The euro pushed higher against the U.S. dollar, while the dollar index, which tracks the performance of the greenback against a basket of six other major currencies, was down 0.11% to trade at 79.86.
Europe as a region is second in global demand for the industrial metal. Prices have tracked investor sentiment toward the euro zone’s debt crisis in recent months.
Meanwhile, copper traders were eyeing the release of Chinese first quarter gross domestic product figures on Friday.
The World Bank was the latest to cut China’s growth figures, saying it expected the Asian nation to grow at a rate of 8.2% this year, down from a January projection of 8.4%.
The country was also set to release reports on industrial production and retail sales.
Investors have been searching for clues in regards to Chinese growth prospects in recent weeks amid fears the country is headed towards a ‘hard landing’. China lowered its GDP growth target for this year to 7.5% last month, the lowest in eight years.
On Tuesday, Beijing reported a surprise trade surplus for March, as imports grew just 5.3%, decelerating sharply from February's 39.6% increase.
The trade data came a day after official data showed that consumer price inflation in China accelerated by 3.6% in March, up from 3.2% in February and above expectations for a 3.3% increase.
China is the world’s largest copper consumer, accounting for almost 40% of world consumption last year. According to the trade data, China's imports of copper fell 4.6% to 462,182 metric tons in March from 484,569 metric tons the previous month, underling concerns over a slowdown in demand.
Copper prices have come under heavy selling pressure in recent sessions, losing more than 8% since April 3 as renewed concerns over the euro zone’s debt crisis added to lingering fears over global growth prospects, especially in the U.S. and in China, the world’s two largest economies.
Copper is sensitive to the economic growth outlook because of its widespread uses across industries.
Elsewhere on the Comex, gold for June delivery dipped 0.12% to trade at USD1,658.35 a troy ounce, while silver for May delivery added 0.35% to trade at USD31.63 a troy ounce.
On the Comex division of the New York Mercantile Exchange, copper futures for May delivery traded at USD3.675 a pound during European morning trade, climbing 1%.
It earlier rose by as much as 1.35% to trade at a session high of USD3.683 a pound. On Wednesday, prices fell to USD3.630, the lowest since January 16.
Market sentiment formed up after ECB Executive Board member Benoit Coeure said Wednesday that the central bank still had its bond-buying program available as an option to ease pressure on the Spanish bond market.
Copper prices tumbled nearly 4% on Tuesday amid growing fears Spain will be the next country in the euro zone to require a bailout.
The euro pushed higher against the U.S. dollar, while the dollar index, which tracks the performance of the greenback against a basket of six other major currencies, was down 0.11% to trade at 79.86.
Europe as a region is second in global demand for the industrial metal. Prices have tracked investor sentiment toward the euro zone’s debt crisis in recent months.
Meanwhile, copper traders were eyeing the release of Chinese first quarter gross domestic product figures on Friday.
The World Bank was the latest to cut China’s growth figures, saying it expected the Asian nation to grow at a rate of 8.2% this year, down from a January projection of 8.4%.
The country was also set to release reports on industrial production and retail sales.
Investors have been searching for clues in regards to Chinese growth prospects in recent weeks amid fears the country is headed towards a ‘hard landing’. China lowered its GDP growth target for this year to 7.5% last month, the lowest in eight years.
On Tuesday, Beijing reported a surprise trade surplus for March, as imports grew just 5.3%, decelerating sharply from February's 39.6% increase.
The trade data came a day after official data showed that consumer price inflation in China accelerated by 3.6% in March, up from 3.2% in February and above expectations for a 3.3% increase.
China is the world’s largest copper consumer, accounting for almost 40% of world consumption last year. According to the trade data, China's imports of copper fell 4.6% to 462,182 metric tons in March from 484,569 metric tons the previous month, underling concerns over a slowdown in demand.
Copper prices have come under heavy selling pressure in recent sessions, losing more than 8% since April 3 as renewed concerns over the euro zone’s debt crisis added to lingering fears over global growth prospects, especially in the U.S. and in China, the world’s two largest economies.
Copper is sensitive to the economic growth outlook because of its widespread uses across industries.
Elsewhere on the Comex, gold for June delivery dipped 0.12% to trade at USD1,658.35 a troy ounce, while silver for May delivery added 0.35% to trade at USD31.63 a troy ounce.