MEIR ON METALS: Softer Chinese numbers knock markets back

Apr 13, 2012 | 11:57 AM |

Analyst Ed Meir looks at what is moving the metal markets on Friday April 13. Copper and General Commentary: Metals soared on Thursday, with copper finishing 2% higher on the day in heavy volume, as COMEX turnover ran at more than 50% above the 30-day norm, this according to Reuters. Other metals pushed higher as well, as did a host of other commodities. In fact, 14 of the 19 commodity complexes in the CRB index were up by 1% or more, led by nickel (up 4%). In the equity markets, the USA stitched together its best two-day advance so far this year. A weaker dollar and talk from two Fed governors that the central bank would remain accommodative into 2014 triggered Thursday’s across-the-board advance. Ironically, the disappointing US jobless claims data was also interpreted positively, as it reinforced the notion that the Fed would remain easy for far longer. Impressive as Thursday’s run was in metals, we are now rolling back most of these....