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Message: Production Increase

Dunno, but Cormark just came out with a 2011 metals outlook, and they consider zinc to be a good candidate for an upmove this year.

Their idea is that zinc stockpiles have levelled off, and while many zinc mines were shut down during the crash, the ones that haven't yet restarted are near the end of their mine life anyway. Meanwhile there are few new zinc projects coming online anytime soon.

So if we end up seeing increased demand from China (i.e. they don't have a horrible crash), there's no way to fill that demand, and zinc will stay above $1, and move slowly higher.

That was Cormark's idea anyway.

Conversely, they say to stay away from nickel.

Of course, a China crash could pooch everything.

They're still happy with copper, btw.

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