Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Copper - analysis -- Ignore unavailable to you. Want to Upgrade?

To: Stephen O who wrote (1408)	3/18/2006 10:06:17 AM
From: kidl	Read Replies (1) \| Respond to of 2131

Copper at record, up almost 7% on week Silver's at a 22-year high; gold's up 2.5% for the week By Myra P. Saefong, MarketWatch Last Update: 4:29 PM ET Mar 17, 2006 SAN FRANCISCO (MarketWatch) -- Copper futures closed at an all-time high Friday, posting a gain of nearly 7% for the week and silver prices closed at a fresh 22-year high as traders bet on a strong demand outlook. "Metals continue to move higher basically on the anticipation of strong demand," said Phil Flynn, a senior analyst at Alaron Trading in Chicago. Gold is "having a hard time getting too rambunctious," said Flynn. "Inflation data is still very tame." Copper for May delivery jumped 9.45 cents, or 4.2%, to close at $2.36 a pound on the New York Mercantile Exchange. The contract touched a high of $2.363 -- that's the highest price ever recorded on the Commodities Exchange division of Nymex, according to Flynn. A week ago, the contract closed at $2.21, so it's up 6.8% for the week. PD75.57, +3.06, +4.2%) , one of the world's leading copper producers, said Thursday that the company expects strong copper prices and consumption out of China to jump, said Flynn, citing news reports. The company predicted a global production deficit of 650 million metric tons from 2004 to 2006, Flynn said. "That was the buzz that started the copper run," he said. "Basically, it gave a green light for people to buy copper again." U.S. economic data Friday showed a rise in February industrial output, raising the prospect of higher consumption for the industrial metals. See Economic Report. "The strong industrial numbers that we've been seeing on the manufacturing side [are] playing into the market momentum -- as well as the strong stock market," said Flynn. Copper performance over the last 3 or 4 years is "nothing short of miraculous," said Dale Doelling, chief market technician at Trends In Commodities. He sees "nothing on the horizon that would reverse the trend prior to copper achieving $3 or beyond," he said, adding that "both the fundamentals and the technicals point to continued higher prices." At the same time, May silver tacked on 2.3 cents Friday to close at $10.365 an ounce after peaking at $10.46, a level not seen since late 1983, according to Flynn. The contract finished the day around 4.1% above the week-ago close of $9.9