COPPER PRICES, CORONAVIRUS, GLOBAL GROWTH, RECESSION – TALKING POINTSCopper outlook bearish after costs break under a 17-year upt
COPPER PRICES, CORONAVIRUS, GLOBAL GROWTH, RECESSION – TALKING POINTS
- Copper outlook bearish after costs break under a 17-year uptrend
- Cycle-sensitive commodity suffered largest one-day loss since 2008
- Coronavirus pandemic pressuring demand for cycle-sensitive enter
COPPER PRICES BREAK 17-YEAR UPTREND
On Wednesday, copper costs suffered their largest one-day loss for the reason that 2008 monetary crash as panic-induced promoting from the coronavirus pandemic pressured the growth-oriented commodity. The commodity has confronted aggressive liquidation stress for the reason that outbreak of the coronavirus has broad unfold efforts to include covid-19 have disrupted crucial provide chains in highly-trafficked ports.
Copper Futures – Day by day Chart
Copper chart created utilizing TradingView
Copper’s sharp decline has largely to do with its robust ties to cycle-sensitive industries that are actually dealing with an unsure future. Earlier this week, US President Donald Trump mentioned the coronavirus might plunge the world’s largest economic system right into a recession. Moreover, China – the biggest consumer of copper by a substantial margin – can also be beneath pressure as the federal government’s lockdown insurance policies have imperiled provide chains.
Copper Futures – Month-to-month Chart
Copper chart created utilizing TradingView
Taking a look at a month-to-month chart exhibits copper costs broke under a…