why CYM is a Billion $ company in the making, page-14

Hi PieChart

I was just replying to your statement that China was using some of its reserves to try and lower the copper price, I have of course also heard those messages. So yes if China expects the current high copper prices to be temporarily then it makes perfect sense to use those reserves now to try and keep the price lower. If they are right about the current prices only being temporarily (as I said a risky assumption to make I would think) then they could buy back cheaper.

But you are fully correct. If the amounts are as you stated are right it is pretty much meaningless... More a signal to creating some bearish headlines then anything material. It could also mean that contrary to the headlines they actually don't want to significantly reduce their reserves and therefore they don't believe the copper price will drop.

But many things China has done lately seem to make little sense. It's what we call "panic football", they seem to have lost the plot a little.

China used to be very careful and deliberate in its long term planning. But since the trade war with Australia started that seems to have all changed. Nothing has worked out the way the expected or hoped, and it seems to have galvanized many countries in turning Chinese economic power and influence, and taking a stronger stance to Chinese expansional tendencies. It looks like several of their industries are suffering and their economy is starting to feel the stress.

Very interesting (albeit somewhat risky) times ahead I would think. Copper for me is a long term play so I will except any short term volatility that might ensue from economical turmoil. If CYM pulls off what they promise this should simply be a home run.