Who Is Actually Buying Copper?
Source: Mineweb, Simon Hunt (9/8/11)
"Copper is becoming a financial asset in place of its historic role as an industrial metal."
JP Morgan and Black Rock have been promoting physical copper ETFs on the basis that the copper market is extremely tight.
Slowly, the truth on whether the global copper market is really tight is coming out. It illustrates just how large an involvement the financial institutions have in the copper industry. It shows, too, that by throwing money at a market, prices can be driven higher. In the process the delicate balance between supply and the industry's requirements for a basic material is destroyed. Copper is becoming a financial asset in place of its historic role as an industrial metal. . .View Full Article