RE:RE:RE:RE:RE:Just a bit of a reminder...I think that comparing the Uranium market to the zinc market is not a fair comparisson. Also, I don't trust data coming out of China but there are other elements in play here....
kramaswamy wrote: Honestly, I wish I knew what was keeping the inventories from falling. Every report I've read echoes your sentiments, and yet, LME levels still refuse to fall.
We did have a nice 1500 drawdown today, but every time I think we might be resuming the trend, it slows back down again.
The only theory I have is that news from China is just not accurate / perhaps even outright lies. The BRICS countries represent about half the world population, and certainly a very significant percentage of the consumption of zinc, especially China. If their economies are doing worse than reported, and the consumption of zinc is slowing down faster than reported, that could explain why the inventories are just not keeping pace with the predictions.
Another poster had mentioned Uranium - I used to be heavily invested in a Uranium junior, and was quite happy to leave that market after the company got bought out. I bought in after Fukushima, and the supposed price gains in the yellowcake market were being called for every year after that event - take a look at the spot prices for Uranium and you'll see my biggest fear for zinc - namely, that the prices still continue to be in the doghouse.