FREE MCX TIPS | Copper futures slid by more than 1% in the domestic market on Tuesday as investors and speculators exited positions in the industrial metal amidst a weak trend in the overseas market as a slump in US sales of previously owned homes signaled a cooling housing recovery in the world’s largest economy, darkening the demand outlook for copper, which is widely used in home construction activities.

US existing home sales tumbled by 10.5 per cent to a 4.76 million annual rate in November, the lowest level since April 2014.

Further, weak physical demand for copper in the domestic spot market also weighed on the industrial metal.

Investors cast aside data showing a pickup in China’s economy as a leading index advanced at a quicker pace in Nov. The Conference Board said that its China leading economic index climbed 0.6 per cent in Nov from Oct, when it advanced 0.3%.

Copper may bounce back today as upbeat US Q3 GDP data bolstered the demand outlook for the base metal.

At the MCX, Copper futures for February 2016 contract closed at Rs 312.8 per kg, down by 1.43 per cent after opening at Rs 315.8, against the previous closing price of Rs 317.35. It touched the intra-day low of Rs 312.25.