...about zinc. Part of the feedback from the copper post of two days ago was some friendly mailer from Russia (of all places) asking "do the same for the other base metals, willya Ottodude?" Sure, and let's get the easy one out of the way. Here's the six month price chart that shows......
......why I'm not getting hot and panting about today's move to $0.55/lb. If it breaks 60c, wake me up and ask me agin, yeah? Here's LME warehouse stock for the same six month period....
....that's a nice pocket signal of the slack demand out there. However the five year chart....
...does give us room for optimism compared with that long-term copper warehoused chart from earlier in the week. It's a bigger subject to explain than can be done with the few lines I'm dedicating to this post, but let's just point out that zinc is a more flexible metal on the supply side and it's pretty quick and simple to put zinc mines into (and later out of) mothballs; ask the Australian mining industry if you don't believe me.
Bottom line: nice to see the base metals, inclusing zinc, upping today. However there's no reason to assume a continued rally right now. If the prices ad about 10% or so from here we'll be off to the races.
......why I'm not getting hot and panting about today's move to $0.55/lb. If it breaks 60c, wake me up and ask me agin, yeah? Here's LME warehouse stock for the same six month period....
....that's a nice pocket signal of the slack demand out there. However the five year chart....
...does give us room for optimism compared with that long-term copper warehoused chart from earlier in the week. It's a bigger subject to explain than can be done with the few lines I'm dedicating to this post, but let's just point out that zinc is a more flexible metal on the supply side and it's pretty quick and simple to put zinc mines into (and later out of) mothballs; ask the Australian mining industry if you don't believe me.Bottom line: nice to see the base metals, inclusing zinc, upping today. However there's no reason to assume a continued rally right now. If the prices ad about 10% or so from here we'll be off to the races.