The metals prices and relatively low inventories of Copper, lead, Ni and a multitude of more exotic metals will eventually trickle down to the Jr resource market..... The big boards have recouped to less than a 10% retrenchment from their peaks.... Clearly optomisium is back into the main market.....
Copper inventories continue to fall in spite of peak prices for copper.....
I have thought for some time that the China and India story can be corilated with the economic expansion the US went through after the depression. WW2 provided the event which initiated this move, and after the war the US did not go back into the stone age...... The buildout of a nation occured.
Wallmart and others provided the event for China, providing the seads to economic development, cheap labour and a desire to be just like us..... China quickly modernized to become a superpower in providing Inventory for the worlds consumers. In doing so China has become one of those consumers itself and the cycle continues.....
Fact is China and India will continue to build out, they will continue to develope ...... the confirmation being the consumption of copper....... Copper is the lead building material in building infrastructure ..... It has no alternative....... Some will say Au is an altenative but that is not so.
So watch copper to see the trend in economic development..... and so far I see no slowdown in this trend....
Interesting perspective from the Aden sisters:
http://www.kitco.com/ind/Aden/aden_m...
The jr resource market is still near it's 2 year low with a full 25 % retrenchment from the multiple peaks over the past 2 years. The "sell in May and go away" has already occured for this year.....I think it will be replaced with " Buy low and watch it grow, untill it snows" this year.
The McFaulds plays are simply in the pack right now..... They will break out with the next event.....
JMHO