A common, yet unheralded metal has enjoyed a recent surge in the
global market, as copper topped $7,000 per metric ton on Monday — its
highest mark in three years, according to Market Watch.
As with many of the world’s precious and base metals, we look at the
China markets to gain a better understanding of
what is pushing the number.
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China’s producer prices increased 6.9 percent, year on year, in September, which
followed a 6.3 percent year-on-year rise in August.
These rising prices were coupled with a consumer-price index growth
rate for China of 1.6 percent, year-on-year, in September, compared to
August’s 1.8 percent year-on-year increase.
Designer abandoned original reverse design late
in the process
Also in our Oct. 30 issue, Mike Diamond presents an interesting
question in his Collectors’ Clearinghouse column: How many errors
can one coin have?
The result was a break through the $7,000 per metric ton mark for copper.
The trading market has responded accordingly, as active copper
dealings on the Shanghai Futures Exchange reached its highest level in
nearly five years according to the Commerzbank.
As with all trends in the metals trading marketplace, each action is
met with a reaction — and this increase in speculative purchases only
helped boost copper’s overall value.
Copper is a base metal, used for electricity conducting in various
settings. It can be found in virtually every piece of technology, one
way or another. It is a flexible metal that can be manipulated and
alloyed with other minerals relatively easily.
the wholesale banking juggernaut, said in a note that “the numbers
also coincided with the implementation of government-mandated capacity
cuts across a number of industries in China, and that was also
influencing broader base metals prices.”