Teck Resources (TSE:TCK-B) (NYSE:TCK) was up in Toronto and New York today as copper and other industrial metals all rose on news the U.S. economy may possibly continue growing, based on industrial demand.
Along with copper surging, other base metals increasing in price were aluminum, tin, lead, zinc and nickel.
All of this if fine, but I am still sceptical on the sustainability of all of this, and whether or not some temporary data comes out positive, like it just has, to massage those numbers of confirmation of a sustainable recovery is suspect at best.
Anyone announcing a sustainable recovery at this early stage is either incompetent or dishonest.
We have a long way to go with the European sovereign debt crisis and potential fallout from China fighting inflation before we can announce there is a recovery at all, let alone a sustainable one.
1 comment:
European debt crisis is an opportunity for the European nations to export because of low value of Euro which in itself means higher production in Europe and demand thereof for base metals.
Don't discount China and India. They are gallopping in double digit growth.
Don't ignore the shift in economic power from the west to the East. It has momentum like the history has never seen!
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