TSX:TECK.A - Post by User
Comment by
BigNickon Apr 27, 2009 6:31pm
365 Views
Post# 15948129
RE: RE: RE: RE: Support
RE: RE: RE: RE: Supportwell, none of us have a crystal ball, but there is a camp that beleives that china, is just stockpiling, and we all know that is not sustainable demand. there is also talk that they and some other countries are treating, copper like the new gold, as an anchor for treasuries, inflation protection, etc, etc, and that truly would represent a form of sustainable demand howver.
take a look at what BHP and RIO are doing. Do you think they would be cutting copper production by as much as 30% across the board, even at their lowest cost operations, if they thought copper would hold 2 bucks? Its not really looking that way. only the highest cost producers cant make money at 2$ US copper.
Their is also a camp that beleives we are in for the 2nd wave of the correction of a grander scale, and this recent rally is a "bottom bounce" Look into Kondratieff cycles for more info and insight.
cheers,