Wt Copper 1x S Discussion Threads

[spob] 28/11/2014 14:28

marker

32.6

sterling 1.57

copper $3.007 lb

usdx 88.02

[spob] 08/8/2011 16:43

about time

[abc125] 09/5/2011 14:16

still holding 1/2 my copper shorts from jan/feb and still looking for $3.50lb medium term. commodities have been weak for several months and i see this weakness lasting for several more months.

[spob] 04/4/2011 08:02

Miners turn to hedging as copper rally stalls

By Jack Farchy in Santiago

FT

3 April 2011


Miners have started to protect themselves against a fall in the price of copper as the metal's rally, which only a few months ago looked unstoppable, has hit a wall.

There is growing nervousness in the copper market as investors begin to doubt the strength of demand from China. The price of the metal, a crucial element in the global economy that is found in almost every building and electrical circuit, has slipped 8 per cent since it hit a record high of $10,190 a tonne in February.

Mining companies have been hedging a portion of their copper production since the start of the year, several senior bankers said.

Miners cut back on hedging in recent years – and several gold miners spent billions of dollars buying back their hedges – after protests from shareholders who preferred full exposure to booming commodity markets.

In addition to copper, producers had been hedging silver and aluminium, said traders.

"For a while, hedging had become unfashionable. This has changed," said François Combes, head of commodities trading at Société Générale. "You have to go back at least five years to find the last time there was genuine hedging of this scale."

The jitters in the copper market will cast a pall over the annual gathering of the copper industry in Chile, which begins on Monday. Just six months ago, the atmosphere of bullishness was overwhelming when leading metals traders and miners met for the London Metal Exchange week.

Since then, confidence has been knocked by shocks including the Japanese earthquake and the jump in oil prices.

Copper traders have also grown increasingly concerned about China, the world's top consumer, where restrictions on credit have crimped demand.

"There's no question that Chinese consumption has slowed and we are seeing a build-up of stocks in many of the warehouses in the region," said one senior metals banker. "The copper market is getting a bit tired at the moment."

The price of copper is critical to the profits of some of the world's largest mining companies, including Freeport-McMoRan, BHP Billiton, Xstrata and Anglo American, as well as the Chilean government, which owns Codelco, the world's largest copper miner.

Bankers said the hedging in the past quarter had not had a large impact on copper prices because, rather than selling futures, the miners had been using options strategies to guarantee they would sell their metal within a certain price range.

The miners typically hedged about one-quarter of their expected production to allow themselves exposure to further rises in the price.

[abc125] 09/3/2011 22:24

copper showing relative weakness vs gold:

[abc125] 02/3/2011 09:44

getting close to the point when commodity prices may break down imo. a rush into the good ole US$ will give scop a further boost since this product is priced in $'s.

[abc125] 23/2/2011 15:18

amazing how quickly the copper price gain can be wiped out. been buying scop since copper hit $4.35lb.

[abc125] 14/2/2011 11:40

also added further today at $25.73.

[spob] 14/2/2011 08:37

bought some scop this morning

26.07

[abc125] 11/2/2011 22:05

will be adding further on monday. copper is going to get hit hard imo. Might even get back to $3.50lb.

[jackoms] 11/2/2011 14:08

Added yesterday :)

Would not be surprised by a horrific China inflation figure next week, which would send copper plummeting

[notanewmember2] 08/2/2011 17:34

This is interesting, didn't know it existed. I'll keep it on the watch list, and wait for the trend to change.

buy if a daily close >28
or weekly close >35

[abc125] 02/2/2011 12:13

adding further at these levels. keep the faith.

[dnfa1975] 26/1/2011 20:23

copoper gotta plunge

[abc125] 24/1/2011 21:43

Took a position in scop today. will add further. expecting markets to correct down by 10-12%.

[golfer25] 21/1/2011 07:11

Bloomberg
Copper may fall on speculation accelerating growth in China, the world's biggest consumer of the metal, will lead to higher interest rates, a survey showed.

[abc125] 20/1/2011 21:56

time to get in i expect.