MTECHTIPS

MTECHTIPS:-Copper futures ease off 4-week high as Spain worries grow

Copper futures came off their highest levels of the session during European morning trade on Monday, as growing fears over Spain’s fiscal outlook weighed on appetite for riskier assets. On the Comex division of the New York Mercantile Exchange, copper futures for July delivery traded at USD3.828 a pound during European morning trade, easing up 0.1%. It earlier rose by as much as 0.85% to trade at USD3.861 a pound, the highest since April 4.Market sentiment took a hit after data released earlier confirmed that Spain’s economy slipped back in to a recession after contracting by 0.3% in the first three months of 2012.The gloomy data came after Standard & Poor’s cut Spain’s long-term credit rating to BBB+ from A and gave it a negative outlook on Thursday, saying that the recession will undermine government efforts to reduce one of the largest budget deficits in the single currency bloc.There have been renewed concerns of further debt contagion in the euro zone in recent weeks amid fears Spain will be the next in the euro zone to require a bailout.