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November 16, 2007


Shanghai Copper

Here’s a weekly look at the Copper contract that trades on the Shanghai Futures Exchange. Copper peaked the week ending May 19, 2006 at 83,770 and has been going sideways more or less for the last year and a half.


Click to enlarge

Related: Dr. Copper and the Band of Burglarizing Vandals

This entry was posted on Friday, November 16th, 2007 at 10:20 am (utc+8) and is filed under Trading and Investing.

3 Responses to “Shanghai Copper”

  1. Tom said:
    November 16th, 2007 at 11:34 am

    Don’t you think BHP-Billiton’s (BHP) grab for Rio Tinto (RTP in US, RIO in UK)has to mark some sort of “copper top” even if it fails, despite Freeport’s (FCX) successful workout with Phelps Dodge?

    Graham French of London (M & G) and of Vanguard’s Precious metals and Mining Fund (VGPMX) despises bloated mining buyouts, but he jumped ship a bit early in unloading RTP ahead of BHP’s wondrous offer.

    In this grand inflationary economic blossoming of the world copper will continue to play a major role and command good prices. But I suspect there will be a good pullback of prices in many commodities. Nothing goes straight line or parabolic forever, and sentiment has been roaring even in this sideways copper year.

  2. C. Maoxian said:
    November 16th, 2007 at 12:14 pm

    Tom: Yes, those mega-mergers (think AOL-Time Warner) do have a way of marking tops, but resource company consolidation makes sense (going for economies of scale and that dreaded buzzword, “synergies”) … moving from oligopoly to monopoly (more pricing power!) is always a nice move, right?

  3. Maoxian » FedEx and Copper: Telling the Same Story said:
    November 17th, 2007 at 2:50 pm

    […] Shanghai Copper […]

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