Copper Prices - Sell or Hold?

[bosco]

Anyone know where the copper prices are going? Traditionally how does the price trend through out the year?

Its only a dollar a pound locally in the north east. Only a year ago it was well over 3.

Is it going to move upwards in the next year or so? I am thinking of holding what I have until the proce goes up...

What do you think?

 

Dislike ads? Remove them and support the forum: Subscribe to Fastlane Insiders.

[Edge]

Are you holding physical copper, copper futures, or some other type of derivative?

To me, copper falls into the same weak dollar play as oil, gold, etc. The difference is there was actual demand for copper 12-18 months ago for building and mfg, that has obviously faded.

Let me ask you this, why are you long copper instead of silver, oil, or ags?

 

[Russ H]

building starts are down--way down.

So price of copper reflects this, as it's used in so many building materials (like almost ALL electrical wiring).

Once economy improves, prices will go up for sure.

Seems like a pretty solid long term play.

Edge? Others?

-Russ H.

PS Keep an eye on Asphalt. If the stimulus restructuring package goes through, we WILL NOT HAVE ENOUGH for all of the highway projects (resurfacing roads). So the price will go completely nuts.

 

[bflbob]

PS Keep an eye on Asphalt. If the stimulus restructuring package goes through, we WILL NOT HAVE ENOUGH for all of the highway projects (resurfacing roads). So the price will go completely nuts.

It already has gone nuts.

We had several unstarted paving projects that we won in 2007.
When the 2008 paving season hit, costs were way up -- sometimes increasing 20%+ per month. We lost a lot of money honoring those contracts.

This was due to the increase in fuel costs, since tar is a petroleum product.

The odd thing is that, although oil prices have dropped, asphalt has stayed high.

The same is likely to occur for steel.

Most bridge projects require that the steel be USA manufactured.

Much of the infrastructure work that will come out in the future will use more steel and concrete than asphalt.

There is a lot of work coming out for heavy construction companies. We just hit a $12 million road project this morning, with two more bids going in this afternoon. 2009 still looks very good for us.

 

Dislike ads? Remove them and support the forum: Subscribe to Fastlane Insiders.

[bosco]

Are you holding physical copper, copper futures, or some other type of derivative?

To me, copper falls into the same weak dollar play as oil, gold, etc. The difference is there was actual demand for copper 12-18 months ago for building and mfg, that has obviously faded.

Let me ask you this, why are you long copper instead of silver, oil, or ags?

Im holding physical copper scrap.

 

[KyJoe]

Im holding physical copper scrap.

LOL. I have some in garbage cans. If it's not in your way, just sit on it.

 

[Excalibur]

B&S is 3/lb Don't recall what #1 is. #2 is 2.70. How is it in your area?

 

Dislike ads? Remove them and support the forum: Subscribe to Fastlane Insiders.