Tuesday, August 17, 2010

Copper looks good

The outlook for the copper market remains robust with the supply demand roughly balanced this year and moving into deficit in 2011

"Our price forecast for copper is $3.70 for 2011 - at this point we're sticking with it and this price basically suggests that we're going to have considerable supply deficits where we're likely looking at some 280,000 tonnes deficit in 2011 - and on average, a balanced market in 2010 that could very easily move into deficit territory as we move closer to the conclusion of the year. So we're quite optimistic for copper with prices up $3.70 considerably beyond the cost curve, mainly because of the very tight and tightening supply-demand conditions."

This is a quote from Bart Melek: Commodity strategist, BMO Capital Markets and the full interview can be read, and listened to, by clicking on the heading above.

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