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Comex copper

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NEW YORK: Comex copper settled lower after slumping early in the session to one-month lows on stop-loss selling by commission houses, traders said on Monday.

Analysts cited expectations in the market that Tuesday's LME warehouse stock data would rise, after last week's sizeable drawdowns, as a negative factor for the market today.

Most-active May copper settled 1.95 cents lower at 114.55 cents a lb, traded from 115.60 to 114.10, while spot April was off 1.60 at 115.10. The deferreds were down 1.30 to 1.05. Volume was estimated at 8,000 lots, up from Friday's 5,899.

The market was under pressure from the opening, gapping lower and quickly slipping through a key support level at 115 cents a lb in the May contract. Next key support was pegged in the 111 area, last hit in mid-February.

Fred Demler, minerals economist at E D and F Man, also counted uncertainty about upcoming U.S. jobs data and concern that the Federal Reserve may not lower interest rates in the near term among negative factors for the copper market.

GSP-related buying by the Japanese ahead of the start of the new fiscal year today will keep buyers from that country out of the market for the near term, although this was already factored into the market, he said.-Reuter