I was watching HG a little earlier and there was a big spike down on about 1600 contracts on a 1 minute bar. (average vol around that was a couple of hundred contracts/minute) was this a) news? b) possibly a fat finger? c) just a typical open for copper?
1) ?....mostly (b) with a little of (a) & (c). 2) A "leak" of the housing report? :eek: 3) It may have had something to do with gold that also appeared to tumble at the same time. 4) It happened at ~7:22am (CST), right after the start of the "pit session". A 1,600-lot can easily spook the market and sweep the screen. Once the selling stops, it can be easy to bid the market back up.
cheers nazzdack, looks about right..... http://www.bloomberg.com/news/2010-...port-that-may-show-weaker-u-s-home-sales.html
Yep, very high correlation to the equities market - esp. the industrial/manufacturing sector. Much less so with precious metals, very nice correlation to aluminum - look at the LME 3-month High Grade Aluminum contract (USD).
Copper climbed to a four-month high from New York to Shanghai, as the Bank of Japan expanded credit support for banks and the Federal Reserve pledged steps to spur economic growth, potentially boosting demand for commodities. December-delivery copper in New York jumped as much as 2.2 percent to $3.46 a pound, the highest level since April 27, and traded at $3.4110 at 5:46 p.m. in Singapore. The metal in Shanghai gained as much as 2.8 percent to 59,450 yuan ($8,740) per metric ton before closing at 59,390 yuan. The London Metal Exchange is closed for a bank holiday today. He, he. Rally a la "Monte Carlo"...