Copper Flirting With Key Long-Term Support Into Month-End: Analysis

Copper is currently trading roughly 2 percent below its 200-monthly moving average which has supported the metal on a closing basis for every month since the China-led commodity super-cycle began in January 2004, Bloomberg strategist Mark Cudmore writes.

Copper is under pressure from the 8.8 percent drop in Chinese industrial profits in August -- the biggest decline since at least October 2011 when the data started being tracked. Copper for December delivery on the Comex traded as low as $2.232 a pound on Monday while the 200-MMA on comes in at $2.285. The metal, also known as “Dr. Copper,” is seen as early indicator on the health of the global economy due to its widespread use in most economic sectors.