Seeking Alpha

First Trust ISE Global Copper Index ETF (CU)

  • May. 1, 2011, 8:08 PM
    "These record-high levels are probably not sustainable," says Jan du Plessis, CEO of Rio Tinto (RIO), talking about base metals prices. While remaining confident of continuing strong demand from China and India, du Plessis, is prepping his firm's balance sheet for falls in copper and iron ore.
    | 1 Comment
  • Apr. 26, 2011, 1:02 PM
    Barrick's (ABX -3.1%) bid for Equinox could be a signal the company thinks gold prices are too high and wants to diversify from the metal, says John Licata. Jonathan Barratt disagrees, seeing the move as a bullish bet on copper, rather than a turn from gold.
    | Comment!
  • Apr. 11, 2011, 12:27 PM
    After a 25% gain in less than 5 months, Goldman closes one of its top trade ideas - a long basket of crude, copper, cotton/beans, and platinum. While believing the trade has additional upside potential, the risk/reward is not nearly as enticing. A few relevant ETFs: USO, JJC, BAL, PTM.
    | 1 Comment
  • Apr. 6, 2011, 3:50 PM
    Feeling their oats given strong copper prices, powerful demand, and high stock valuations, Freeport-McMoRan (FCX) and Xstrata (XSRAF.PK) are on the lookout for acquisitions. While FCX is only interested in a large deal, Xstrata is focused on smaller, developing situations.
    | Comment!
  • Feb. 9, 2011, 10:10 AM
    Any teetering in the price of copper miners due to higher rates in China may be a buying opportunity, according to Daniel Moser. As long as the yuan peg remains, U.S. monetary policy (easy) becomes China's, plus supply constraints aren't going away. COPX -1.0%. FCX -1.2%. SCCO -0.9%.
    | Comment!
  • Feb. 4, 2011, 12:36 PM
    Heavily dependent on copper, Chile would seem blessed by record prices, however those same prices are putting upward pressure on the peso, hurting exporters across a wide range of industries. The Chile ETF (ECH) is off 16.3% YTD.
    | 1 Comment
  • Feb. 3, 2011, 8:10 AM
    After climbing 30% in 2010, copper continues its ascent, reaching a record $10,000 per metric ton as investors bet the global recovery will lead to increased demand for industrial metals. Copper supplies this year could fall short of demand by 822K tons, more than double last year's deficit.
    | 1 Comment
  • Jan. 27, 2011, 2:31 PM
    An analyst from Canada's Brockhouse Copper notes that the typically tight relationship between the price of copper on the LME and in Shanghai has broken down. The last 2 times this divergence occurred marked significant tops in the metal's price. JJC +1.1%. FCX -2.8%.
    | Comment!
  • Jan. 27, 2011, 10:09 AM
    Unconcerned that China and India are tightening monetary policy, Jim Rogers sees commodities as a win/win investment. “If the world economy gets better, commodities are going to make a fortune. If the world economy does not get better, commodities are the place to be because they are going to print more money."
  • Jan. 25, 2011, 12:16 PM
    Futures markets are expecting a fall in the price of copper, but Robin Bhar of Credit Agricole sees a widening supply deficit as reason the highs have not yet been hit. In the meantime, the worldwide scramble for supplies continues. JJC -3.0%. FCX -2.9%.
    | Comment!
  • Jan. 20, 2011, 2:17 PM
    Société Générale sees overheating in China reaching "peak frenzy" in mid-2011, followed by a sudden reversal which could see bank shares fall 50-75% and copper halved. True inflation - measured without the benefit of price controls and rejiggering - is closer to 8%.
    | Comment!
  • Jan. 18, 2011, 10:16 AM
    Macroman notes that Shanghai has fallen below its 200 day moving average and considers the worrying implications for commodities, whose fortunes have tracked Chinese shares. A divergence in performance, starting in mid-November, has widened significantly.
    | Comment!
  • Jan. 13, 2011, 7:17 AM
    Lundin Mining (LUNMF.PK) and Inmet Mining (IEMMF.PK) agree to a 'merger of equals' to create a Canadian copper miner with a market value of ~C$9B ($9.1B). The deal comes as copper nears record highs, and Canada's mining industry consolidates.
    | Comment!
  • Dec. 22, 2010, 7:16 AM
    A mystery trader holds 80-90% of the copper in London warehouses, a stake worth ~$3B and equal to roughly 50% of the world's exchange-registered stockpile. Copper's not the only metal where single traders are getting aggressive, and investors are worried.
  • Dec. 10, 2010, 8:19 AM
    In echoes of 2008, commodities, many at multi-year or all time highs, appear to be an accepted asset class. "We are seeing investors flock to commodity resources," notes an analyst, "that pattern will continue regardless if prices move higher or lower." If they move lower?
  • Dec. 7, 2010, 7:39 AM
    It turns out the mystery buyer of more than $1B of copper is JPMorgan (JPM). Though the revelation has alleviated some concerns that a single trader was trying to corner the market, investors are still worried about an impending supply shortage. Copper futures +2.5%.
Visit Seeking Alpha's
CU vs. ETF Alternatives
CU Description
The First Trust ISE Global Copper Index Fund is an exchange-trade fund. The investment objective of the Fund is to seek investment results that correspond generally to the price and yield, before the Fund's fees and expenses, of an equity index called the ISE Global CopperTM Index.
See more details on sponsor's website
Find the right ETFs for your portfolio: Visit Seeking Alpha's ETF Hub