Backwardation a big theme at the moment in LME commodities. Front contracts being sold as investors position for an expected recession, while back months are well bid on long term supply shortages. Base metal equities are capable of looking into the future, so they can do OK despite weak spot copper prices in my view.
Will the Fed really get to the 5% rates that mkts are predicting?, unlikely . equities will realise this and rally in Q4 imv
Technically $1.10 to $1.30 is heavy heavy resistance. If we were to clear that complex (200 day moving average now at $1.20) then something really has changed here, until then HCH remains in an intense bearish trend.
HCH Price at posting:
$1.01 Sentiment: Buy Disclosure: Held
