COMEX copper futures opened higher on Wednesday, rebounding from the previous session's 4.5 percent sell-off, as prices held their recent range and the market marked time ahead of Thursday's Federal Reserve decision on interest rates, sources said.
"I think we were a little over-extended on the downside yesterday and it looks like guys are just squaring up ahead of the Fed," said one COMEX dealer.
By 10:28 am EDT (1428 GMT), benchmark September copper was trading up 4.40 cents, or 1.4 percent, at $3.13 a lb on the New York Mercantile Exchange's (NYMEX) COMEX division, after moving between $3.0315 and $3.1910. Technicians pegged resistance in September copper at the $3.25-$3.30 a lb level, with support seen at $3.00.
July copper, which is set to become the spot contract after the close, gained 4.30 cents to $3.23 a lb and the current spot June rose 7.30 cents to $3.36. COMEX copper volume at 9 am was estimated at only 3,000 lots.