Copper for March settlement on the Comex division of the New York Mercantile Exchange jumped by 9 cents or 2.9% to $3.2010 per lb. Yesterday, the contract touched a one-month low.
"The main story of the day has to be the weakness we are seeing in the dollar," INTL FCStone analyst Edward Meir said. "Not helping matters either, is the increasing tilt towards protectionism that could spread globally if the US steps up its retaliatory spate of actions. For now, it seems that the commodity complex remains in a ;buy the dip' kind of a mode, with the weaker dollar being the key upside driver."
In the precious metals sector, Comex gold for February settlement rose $16.60 or 1.2% to $1,353.40 per oz. Trade has ranged from $1,339.10 to $1,355.30 so far today.
Currency moves and data releases
- The dollar index was most recently at 89.30, down 0.78%.
- In other commodities, the Texas light sweet crude oil spot price was up 1.15% at $65.21 per barrel.
- Today in data, the US flash manufacturing PMI in January came in at 55.5 the while flash services PMI disappointed with a 53.3 reading. Existing home sales also failed to meet expectations, with total sales reaching 5.57 million homes, missing the forecast of 5.72 million.