Why Copper Hit A Three-Week High
Today most markets — including
ones that are usually inversely related — closed higher, as equities, bonds,
energy, gold, and industrial metals were up while the dollar was mixed.
Equities
US stocks rose for a third day in four after IBM
said sales beat analysts’ forecasts and MBNA Corp., the world’s second largest
issuer of credit cards, reported a drop in loan losses. The S&P
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up 7.70 to finish at 893.70; and the Dow
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8400. The Nasdaq
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Fixed Income
US Treasuries ended a four-day losing streak today after reports showed declines in New York manufacturing
this month and in nationwide industrial production in March. The news sent
the 10-year note’s yield under 4%. And the 10 year contract
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was up 0-110, closing at 114-040; the 30 year
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closing at 111-26; and the five year note finished
up 0-065 to close at 112-28
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Metals
Copper rose to a three-week high on speculation
that industrial production will accelerate later this year, boosting demand for
metal wires and pipes. Economists expect U.S. industrial production, which fell
in March for the second straight month, to rebound this quarter and grow even
more by the end of the year, according to a survey by Blue Chip Economic
Indicators. Copper for May delivery rose .95 cents, or 1.3%, to
73.40
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was up a slight .60 to close at 325.50
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Energy
Crude rose to a two-week high on expectations
that OPEC will cut production at a meeting next week to compensate for a return
of Iraqi oil to the world market. As such, the May contract was up .66 to close at
29.29
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Currencies
The US dollar was mixed against the other major
currencies closing higher against the Swiss franc and UK pound, but lower
against the other major currencies. The USD index
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.26 today and
finished at 100.05.