Will Copper ETN Be Hit as China Re-Exports Stockpiles?
Friday, November 13th, 2009
Tom Lydon (ETF Trends) submits:
China has large stockpiles of copper, and rumors are flying about the prospect that they may re-sell some of this precious metal. Will this negatively impact the strong-performing copper ETN?
China’s buying spree has been seen as a major driver of commodity prices in recent months. But did they get a little too carried away? David Taggart for iStockAnalyst reports that this was more bargain shopping than an actual demand-driven rally. As a result, demand for copper has not yet picked up, leaving China done with buying and considering selling.
