Commodities

MCX Copper is quoted in rupees per kilogram. It broadly tracks international prices on the London Metal Exchange (LME).

Copper is used widely in construction, power infrastructure, electronics and manufacturing. Rising copper demand often signals economic growth, which is why the metal is nicknamed “Dr. Copper.”

The major factors are Chinese demand, mine supply disruptions, the global growth outlook, and the USD-INR rate.

EVs, charging infrastructure, solar and wind projects use significantly more copper than conventional alternatives. This has made the energy transition a major long-term demand factor for copper.

Both speculators and businesses trade copper futures. Cable, wire and electrical manufacturers often use them to hedge against changes in raw material prices.

Base metal contracts on MCX are delivery-based. Most retail traders square off before the delivery period, and many brokers require them to do so.