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Copper Posts Fully Bullish Week as Stockpiles Fall

July 23, 2010 at 21:58 by Andriy Moraru

The copper is ending the week with all 5 days being bullish and with the biggest total weekly gain in about 5 months as the stockpiles of the metal continue to fall.

According to the reports on LME, the stockpiles have dropped for 22 consecutive weeks and for the 26th straight day today. As the build-up of the reserves caused a decline copper several months ago, the drop of the inventories spurs the demand from the traders. The analysts see a growth of the demand with staggering supply of the commodity in the future.

The weekly gain of the metal was also spurred by the growth of the real estate sector expectations in United States and the rallying stock market, which increased the eagerness of the market participants to invest in commodities. Pessimistic analysts expect copper to continue in the bullish trend till the end of summer but await some correction afterward.

Spot copper rose from $6,973.00 to $7,031.00 as of 19:55 GMT today. The weekly growth stretches from $6,479.00 or 8.52 percent.

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