Base Metals Preview: COMEX copper slides to 3-month low

Copper futures fell sharply on Thursday tracking negative cues from equities and higher dollar index. DXY is hovering around 100 mark on inflationary concerns flagged by Federal Reserve amidst the ongoing Middle East conflict. The central bank left the fed funds rate unchanged, as expected, noting the uncertain economic impact of the Iran war while flagging elevated upside risks to inflation. Oil prices climbed again after Iran reported that some of its energy facilities had come under attack, adding to inflation worries. Meanwhile, US stocks moved sharply lower overnight. The Dow plunged 768.11 points or 1.6 percent to 46,225.15, the Nasdaq tumbled 327.11 points or 1.5 percent to 22,152.42 and the S&P 500 slumped 91.39 points or 1.4 percent to 6,624.70. Currently, copper is trading at $5.52 per pound, down 1.34% on the day and at its lowest level in 3-months.

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