Temporary and spurious. A strong S&P 500 implies future economic growth and strength for HG. As recently mentioned, the "shadow" inventories are throwing a monkey wrench into this market.
You know a lot more about this subject matter than I do. I just thought I'd come and visit and say hello. I appreciate your posts, I have an alert on them and read them, and did not want you to feel completely abandoned and alone. Copper is a material that speaks to many aspects of economic health. Just look at all the idiots getting electrocuted in order to pilfer the stuff.
May contract now the lead. Down a penny this morning. LME Stock levels remain low at 274,350 tons. That's the only thing holding this market up.
Thanks Bone. The key right now to lower prices is higher inventory levels at the London Metals Exchange (LME). They (strangely) continue to drop.
Only a handful of my clients have FCMs who are LME members or who have give-up agreements with LME Member firms. It's too bad that the exchange membership won't expand access to their markets. The clients that I do have trading LME do very well with it. Lots of spread trading opportunities and correlated lead-lag strategies both within the LME product suite and inter market.
May contract now flat. Reason: weak US Dollar. Emerging market countries have more buying power when the USD declines as copper is denominated in USD.
May contract down a penny this morning. LME stock levels steady at 273,725 tons. Low stocks still holding this weak market up.
After yesterday's 4 cent rally, copper now flat. From the LME: 275,200 tons in stock. Are stock levels finally bottoming here ? Could be....stay tuned.