Heramed Ord Shs T.HMD

CRASH IMMINENT!!

[theman0]

Once again I must touch on the issue of current supply levels of base metals. It blows me away that so called "analysts" continue to speak of continued upward moves for metals despite huge and growing inventory levels. A massive bubble is now officially growing; and in typical fashion, those who are in the bubble see nothing to stop the upward trajectory in prices and they dismiss any arguement to the contrary as a person who simply does not understand the market. The National Post  carried yet another bullish arguement for copper today. They claim the demand is so great there will be a supply deficit. It seems that this "great demand" for copper and other base metals is being purchased  from some where other than the LME as inventory levels approach "off the scale levels".

Inventory levels at the LME>

ZINC - Rising and currently at historically record levels.

LEAD - Rising and currently at historically record levels

ALUMINUM -  Rising and currently at historically record levels

NICKEL - Only metal showing some demand but still near 5 year high inventory levels

COPPER - Copper inventory's have been rising for 6 straight months and despite all the yapping about demand for copper it is still near 5 year high inventory levels.  

Before the 08 crash, inventory levels were very low and there was in fact demand. Inventory levels in 2011 are very high which would suggest a crash worse than that of 08 as there is very little demand.  The overall fundamentals within the economy could not be worse and yet we have an endless line of "analysts" calling for endless price increases. THIS WILL END IN A VERY BAD WAY.