At London Metal Exchange, Mystery Buyer Holds 50-80 % of Copper

Discussion in 'Commodity Futures' started by ASusilovic, Dec 2, 2010.

  1. A mystery buyer is apparently holding more than half of the copper stocks at the London Metal Exchange's warehouses, the latest revelation of how a single trader can roil an entire commodities market.

    That trader, whom the exchange hasn't identified, owns between 50% and 80% of the 355,750 metric tons held in LME-listed warehouses. This amounts to more than 177,875 metric tons of copper, valued at about $1.5 billion. The exchange first disclosed the large position on Nov. 23 in its daily inventory holder report.
  2. Damn, I must have entered the wrong position-size parameter in that automated swing trade I have been running.

    Thanks for letting me know; I’ll override the system manually and see if I can get myself out over the next few days without crashing the market.

    I’m learning that you just can’t leave these things unattended for long.

    Also explains why my broker has been trying to reach me.
  3. moo



    Well, who might this mysterious buyer be... China, perhaps??

    Any better guesses?
  4. zdreg


    Jim Rogers is right. you should learn chinese. :D
  5. That's a lot of copper. According to my calculations, you can make about 105,000 miles of a thick wire with that copper, 0.46 inch in diameter.
  6. Fat fingers. Will call my broker to scratch the trade.
  7. Tsing Tao

    Tsing Tao

    didn't the same thing occur in 2008 with oil where one buyer had 40% of open contracts or something?
  8. Joman


    Maybe Anthony Ward was tired of buying cocoa :)
  9. Where's the Hunt brothers when you need them?
  10. S2007S


    Fast Forward in 8 minutes and listen to what they say about copper.


    <object id="cnbcplayer" height="380" width="400" classid="clsid:D27CDB6E-AE6D-11cf-96B8-444553540000" codebase=",0,0,0" >
    <param name="type" value="application/x-shockwave-flash"/>
    <param name="allowfullscreen" value="true"/>
    <param name="allowscriptaccess" value="always"/>
    <param name="quality" value="best"/>
    <param name="scale" value="noscale" />
    <param name="wmode" value="transparent"/>
    <param name="bgcolor" value="#000000"/>
    <param name="salign" value="lt"/>
    <param name="movie" value=""/>
    <embed name="cnbcplayer" PLUGINSPAGE="" allowfullscreen="true" allowscriptaccess="always" bgcolor="#000000" height="380" width="400" quality="best" wmode="transparent" scale="noscale" salign="lt" src="" type="application/x-shockwave-flash" />
    #10     Dec 2, 2010