RE:RE:RE:RE:RE:RE:I know that some have trouble understanding "Any student of economics would understand"
No, any 7th grader, but that's beside the point.
“Agrue if the demand is higher or the supply is lower. The net change in price is the same.” Less what the USD does.
As long as we’re talking about supply and demand, we should also try to understand why an imbalance between the two causes metals to boom and bust. If both supply and demand were driven by the same impetus there never would be an imbalance, but of course that simply is not the case.
First, supply can be determined by known mine production reports, yet has in the past been relatively static due to long development of new supplies. The threat of extreme weather disrupting the delivery of concentrate to sea ports may cause a reduction in supply.
Demand, on the other hand is not only difficult to predict but can rapidly rise or fall due to unrelated and unforeseeable economic developments.
So, what is really important is the economic strength and business activity of major copper consuming nations. The CCP couldn’t take away the punch bowl, and even now is still refusing to face up to a decade of slower growth like Japan experienced in the 90’s.
Us’n here in North America have no worries, we got copper here. All we gotta do is dig it out of the ground.
b.