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Copper falls from a three-week high

FXStreet (Mumbai) - Copper, on the Comex division of the New York Mercantile Exchange, is trading lower today after prices hit a three-week high yesterday.

Copper is trading 0.78% lower at USD 3.066/pound, down from a high of USD 3.085/pound hit earlier today. The metal was sold after the Chinese CPI data for September indicated moderation in the price pressures. The Chinese CPI rose 1.6% in September, below estimates of a 1.7% gain. Moreover, the markets read the lower inflation number as an indication of a weakening demand from the World’s largest consumer of Copper.

Moreover, the low inflation number did trigger the expectations that the Chinese government would unleash fresh stimulus measures. However, the metal did not gain along with the Asian equities.

Copper Technical levels

Copper has an immediate support of 3.067 (Sept 29 high), below which the prices can fall to 3.05 levels. On the flip side, Copper can re-test yesterday’s high of 3.104, if the prices manage to sustain above 3.067 levels.

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