19-Sep-2024 18:38

Copper futures soared today as weakness in US dollar and firm cues from equities boosted the red metal. The counter broke above $4.30 per pound mark and currently quotes at $4.35 per pound, up 1.67% on the day. These are two month high levels for the counter. On MCX, the benchmark MCX Copper futures are trading at Rs 816.50 per kg, up 0.93% on the day after hitting highs above Rs 819 per kg. The US Federal Reserve made a significant policy shift on Wednesday, cutting interest rates by 50 basis points. This marks the first rate cut in over four years, signaling a potential easing of the restrictive monetary policy implemented to combat inflation. The Fed also hinted at two more 25-basis point cuts this year, but market sentiment suggests more aggressive easing could be on the horizon. US dollar index fell under 100 mark for a while following this, testing lowest in 14 months. DOW hit fresh record highs but eased in intraday moves after the Fed decision and Powell comments. Meanwhile, in Asia, China's Shanghai Composite index added 0.69%. Hong Kong's Hang Seng index spiked 2%. Japan's Nikkei 225 index rose 2.10% as markets eyed BOJ interest rate decision tomorrow. European market soared with major indices jumping around 1-2%. The Dow and the S&P 500 hit new record intrday highs immediately following the Fed rate cut announcement but closed in the red, witnessing heavy fluctuations.

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