Copper Weakens, Gold and Silver Stay Stable on Tuesday, April 26
A Close Look at the Commodity Market on Tuesday, April 26
Copper falls lower on Tuesday
Copper remained weak on Tuesday, April 26, 2016. At 2:28 PM EST, the Comex copper contract for July expiration was trading at $2.25 per pound, a decline of 0.4%. The increase in Asia’s copper stockpiles along with less positive sentiment on the Chinese economy is weighing on copper prices.
In addition, investors are looking forward to the outcome of the FOMC (Federal Open Market Committee) meeting, which will conclude on Wednesday, April 27, and be followed by an official statement at 2:00 PM EST. To know why copper started Tuesday on a weaker note, please read the Market Realist article Why Is Copper Weak This Morning?
Below is how major copper companies were trading at 1:34 PM EST on Tuesday, April 26:
Glencore (GLNCY): rose 0.46%
BHP Billiton (BHP): rose 0.97%
Rio Tinto (RIO): rose 0.65%
Freeport-McMoRan (FCX): fell 0.44%
The PowerShares DB Base Metals ETF (DBB) and the SPDR S&P Metals and Mining ETF (XME), both base metal–related ETFs, fell 0.16% and 1.4%, respectively, on Tuesday.
Gold and silver remain stable on Tuesday
Gold and silver remained stable on Tuesday, April 26, supported by the weaker dollar. The surge in prices was seen in gold and silver after the release of the United States Census Bureau’s weak durable goods order data, which pushed the dollar lower. At 1:40 PM EST, the Comex gold futures contract for June delivery was trading at $1,243.50 per ounce, a gain of 0.27%. Silver was trading at $17.13 per ounce, a gain of 0.68%.
Investors are looking forward to the FOMC statement to gauge the chances of an interest rate hike in the following meetings. After posting losses on Monday, April 25, precious metal producers rose on Tuesday. At 1:48 PM EST, precious metal producers and precious metal ETFs were trading as follows:
Barrick Gold (ABX): rose 1.2%
Newmont Mining (NEM): rose 1.9%
Royal Gold (RGLD): rose 1.2%
Silver Wheaton (SLW): rose 1.0%
SPDR Gold Trust (GLD): rose 0.41%
iShares Silver Trust (SLV): rose 0.65%
Browse this series on Market Realist:
