Copper Rally Overhyped for Skeptics Warning of Plenty Supply
- ‘Something off’ about biggest gain since 2009, Barclays says
- Hedge funds double bullish bets in two months to all-time high
Dane Davis Says He Is Still Cautious on Copper
This article is for subscribers only.
Copper’s biggest rally in almost a decade is being greeted by a growing chorus of skeptics.
The metal is up 18 percent since Dec. 31 -- the best start to any year since 2009. But analysts at Natixis SA and Bank of America Merrill Lynch say the ride down could be just as fast as the way up. They point to a handful of indicators that suggest markets are out of sync with the fundamentals, and Barclays Plc predicted losses later this year for a market that it said was “overhyped.”