John Gross, publisher of The Copper Journal and president, of J.E. Gross Inc., a consulting firm that tracks the metals markets, says pricing in these base metals once again seem to be out of step with reality.
Gross said in his Copper Journal monthly report, “Despite the daily if not hourly flow of disastrous news, be it political, economic, financial, or social disorder, here and around the world, the markets seem to be ignoring it all, as they are rising in unison.
“Monthly average prices for most markets are up month-over-month; year-to-date, with some now higher than the year ago period, and they are also above their respective trend lines. Of course, there is always an exception, and right now it’s crude oil that's out of step (temporarily we think) with the rest of the parade.
“We don’t pretend to know why markets are rising, or how far they will go, and we are quite confident that no one else knows either. Further, the reality is that global markets for many commodities have become too complex over the past several years, and with too many moving parts, to the extent that a great deal of logic has been lost in the overall equation.
"In any event, our job is to monitor the markets, and take appropriate action to mitigate price risk. Don’t let the markets manage your business."
If you would like to learn more about how you can manage market prices, Contact John at by clicking here or calling him at 631-824-6486.