Ok, we already going through what happened last year who stocked up on copper so far this year? In January spot price was $1.25 a lb. Now it is $1.80 and looks to be going up. We bought some in January then again again 2 weeks ago. There did not seem to be a large amount of difference between these purchases. The supply house told me last week that pricing was going up 14% this week. I hope this thing does not get out of hand again like it did last year.
i just got my weekly email from my broker, and this paragraph is worth quoting
just to give a perspective on things:
"In another sign of good news, the price of a pound of copper rose to $1.86
at one point last week, up from just $1.30 in December 2008. Copper has
earned the nickname ?Dr. Copper? due to its past ability to predict booms and
busts, according to MarketWatch. The fact that copper is heavily used in
building and manufacturing helps explain its supposed forecasting ability.
Russell Napier, author of the book, Anatomy of the Bear, is also a big believer
in copper?s predictive powers. He wrote, ?Of all the commodities, the change
in the trend of the price of copper has been a particularly accurate signal of
better equity prices.?
"These initial shards of good news helped underpin the market?s recent rocket
rise. Since reaching its cyclical closing low of 676 on March 9, the S&P 500
has risen just over 20%, according to data from Yahoo! Finance. That?s a
remarkable recovery in just 18 days. Technically, it means we?re in a new bull
market using the traditional definition of a 20% gain from a previous low.
Technicalities aside, nobody is ready to uncork the bubbly."
so what's it mean? from my point of view, stable copper prices are nice to
be able to survive in a bid world. from a larger point of view, having an
unlimited supply of cheap water at your feet isn't such a good thing if you
are in a boat, and it's coming from a hole in the hull.
