COMEX Copper futures fell towards one-week low today, giving up gains in a highly volatile session as equities turned lower and risk sentiment took a hit following weak economic cues and sustained worries over soaring US treasury yields. The euro area private sector logged a renewed fall in May due to a sharp downturn in services activity, flash purchasing managers' survey compiled by S&P Global showed on Thursday. The flash composite output index fell to 49.5 in May from 50.4 in April. The score fell below the 50.0 no-change mark for the first time in five months.
Japan's private sector also fell back into contraction territory in May due to a steeper fall in manufacturing output alongside a weaker growth in the services sector, flash survey results from S&P Global showed on Thursday. The au Jibun Bank composite output index dropped to 49.8 in May from 51.2 in the previous month.
Copper turned lower after hitting above $4.70 per pound amid these cues. It is currently trading at $4.61 per pound, down 1.20% on the day. Equities were lower across the board. MCX Copper eased but losses were limited due to slide in Indian Rupee. Local Copper futures are off 0.20% at Rs 855.75 per kg after hitting highs above Rs 862 per kg in early moves. In Asia, China's Shanghai Composite index eased 0.22% while Hong Kong's Hang Seng index lost 1.19%. Japanese NIKEEI index dropped 0.84% on the day. European stocks fell with major indices shedding around half a percent. The Dow fell 1.9% amid surging Treasury yields and fears over a costly tax bill. The S&P 500 slumped 1.6% and the Nasdaq lost 1.4%.