Base Metals - May 11, 2020 - HDFC Securities

Mr. Tapan Patel - Senior Analyst (Commodities), HDFC securities

Base metals complex traded positive on Monday on signs of demand recovery. Copper prices rose for the second week followed by Nickel and Zinc prices.

Base metals continued upside with China returning to the normal operations. The recent data showed that China's import of unwrought copper rose by 4.4% in thr month of April. Copper inventories at Shanghai fell by 26737 MT in last week while at LME reported decline of 1400 MT.

Base metals may witness some selling pressure as China , Japan and South Korea have reported rose in new COVID19 cases which is considered as second wave of virus infections.

MCX Copper May contract has important resistance at Rs. 412 and 417 with strong suppot at Rs. 401 for short term.

Source : Equity Bulls

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