Copper futures jumped by more than 1 % during late morning trade in the domestic market on Monday as investors and speculators booked fresh positions in the industrial metal as easing factory gate deflation in China suggested a rebound in the economy of the world’s biggest metals consumer, lifting demand outlook. 

China’s producer price index fell 2.6 % in June 2016, year on year, compared to May’s 2.8 % annual decline, marking the sixth straight month of a slower pace of contraction while consumer inflation eased to 1.9 % from 2 %.

Further, American employers bolstered headcounts by the most since October in June as payrolls rose by a whopping 287,000, signaling a pickup in the country’s labour market recovery, bolstering the demand outlook for the base metal.

At the MCX  Copper futures for August 2016 contract is trading at Rs 322.30 per kg, up by 1.42 %, after opening at Rs 319.80, against a previous close of Rs 317.80. It touched the intra-day high of Rs 323.