COFFEE traded at $162.92, 0.09% up since previous close. The mild recovery can be seen in Coffee prices ahead of the result of U.S inflation data which is to be out on Thursday. Last week, the commodity tested one-month highs of $168 levels amid rise in demand against the supplies from major parts of the world. Moreover, the change in climatic conditions in Brazil affecting the Coffee production & supply levels made the commodity expensive. The mixed USD will remain vital for Brazilian Real (BRL) currency & Coffee prices since this may affect the profit fetched by Brazilian farmers while exporting the beans to U.S. As seen in the chart, the Coffee is hovering near MA (10) & MA (20) & hence, sideways trading may be recommended for the day.

COPPER traded at $8412 .3, 0.11% up since previous close. The selling pressure can be seen in copper prices since last two sessions as traders remain cautious ahead of the release of U.S inflation data due to be out on Thursday. Also, the China is to reveal its CPI & PPI data on Wednesday which will be closely monitored since China is a major consumer of base metals. Last week, the Fitch downgraded U.S long-term credit rating from AAA to AA+ which may affect the country’s manufacturing & industrial activities & hence, may reduce the demand of metals. As seen in the chart, the copper slid down to lower trend-line of channel pattern which acts as a major support level & hence, wait & watch strategy may be adopted further.