Copper futures dropped by 0.46 percent on Wednesday, settling at Rs 829.80 per kilogram as traders scaled back their positions in response to weak demand in the domestic market. On the Multi Commodity Exchange (MCX), copper contracts for February delivery fell by Rs 3.80, or 0.46 percent, with a business turnover of 3,012 lots.
Market analysts attributed the decline in copper prices primarily to a reduction in positions by speculators, driven by the muted demand in the spot market. As demand remained sluggish, traders chose to minimize their exposure to copper futures, contributing to the downward movement.
In a related development, aluminum futures also experienced a drop. Aluminum prices slipped by Rs 1.65, or 0.67 percent, to Rs 245.50 per kilogram, as traders cut back on their positions due to weakening demand from consuming industries. On MCX, aluminum contracts for February delivery registered a decrease in turnover, with 1,440 lots traded.
Both commodities reflected the broader trend of subdued demand, with industry insiders pointing to the ongoing uncertainty in the market as a key factor influencing futures prices.
