re: metals warning its going to crash???
Ask plumbers about PVC/poly!
They hate it as it gives no surity of sealing whereas brazed copper never fails as there are essentially no joins,every brazed joint is totaly sealed.
Getting back to the price of copper.Analysts are definitely concerned over the price and it will come back at some stage dependant on fundamentals.Imo this will be dependant on when the large producers get their act together,strikes,production bottlenecks etc.Once these are sorted it is then dependant on if the Chinese are serious on the stockpiling and whether the stockpiling is in the from of in ground reserves or actual physical stockpiles a la the LME stockpiles.The most likely scenario is by in ground reserves and this would be the most sensible as it doesnt cost anything apart from the proving up of the resource.
Chinese arnt just active in Australia tying up JV's.Ask about the Chinese involvement in Africa atm,particularly in the copper belt.Zambia seems to be a main target as it appears to have some elephant deposits that just havnte been seriously looked at before.But its not just an African game,its worldwide.
The big problem,as everyone would realise,is the fund money involvement.What one has to take into account is that the funds are now seeing this record world growth in the context of the once illregarded base metals.
I'll post this Manmetals report link again (posted this morning).It puts the whole funds/fundamental situation in a nutshell.
We are in unprecedented times with two of the Largest underdeveloped nations with the highest world populations emerging from their slumber as Japan did back in the 50's/60's.
Yes these base metals will reach a threshold and they will come back but it could be years before we see any commodities back to pre-super cycle levels and imo they will not ever come back to these levels as two developing jugernauts have been created and have years/decades to run prior to settling,if they do at all.
