Numera: Sell copper

Monday, 18 October 2021

Numera with the note. I agree but am more bearish and consider the current bounce a mania.

Copper–Underweight. Weak demand prospects, rising mine supply and weakening trader sentiment all worsen the risk-reward balance of copper for2022. We expect spot LME prices to drop $1000 / MT 12M out.

Up until May of this year, copper prices benefited from strong physical demand and tight mining and refined copper supply.

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About the author

David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.