Copper's continuous rally in the face of swelling inventories -- a sign of weak consumption -- has perplexed many in the market.
Copper stockpiles at London Metal Exchange warehouses are at their highest level since April. In China, the world's biggest consumer of the metal, copper stocks have risen sixfold at the Shanghai Futures Exchange this year. And at Comex, the metals division of CME Group, stocks are their highest level since August 2004.
Yet, copper soared 5% last week...
I wonder if this disconnect is occurring in sympathy with gold, or if it is a flee to hard assets because of worries about the debt bubble.It appears to be an "anything but fiat" money trade!
