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If we are slotted to go into a recession, will copper drop a lot in price?

JerrySpringer wrote:If we are slotted to go into a recession, will copper drop a lot in price?

In a normal economic cycle, with decreased demand for finished goods, it’s reasonable to expect commodity prices to fall. We are now in clown world with historical Federal Reserve Hiney Wipes printing so prices could (should) rise anyway. My guess would be fall at first and then slingshot higher. To da moon.

The lack of movement in copper and nickel these last weeks is to me telling. I just wish I knew what they are telling.

coppernickel wrote:The lack of movement in copper and nickel these last weeks is to me telling. I just wish I knew what they are telling.

Cu and Ni prices are bound to fall with the rest of the stock market.

The stock market crash has only just begun. Lots of malinvestment since March 2009, all precipitated on Fed liquidity injections (QE) and low interest rates. People with 401ks and IRAs are going to get obliterated. It'll be a lot worse than 2008.

The Dow did poorly again today to prove the validity of your point. Down almost 7 percent in the last 5 days and down 14 percent in the last 6 months. Copper is also down the last 5 days, but only one or two percent.

In the last two weeks, copper has gradually increased from 3.19 to 3.52. Still a long road ahead.

And now up to 3.83 a pound. Will we hit 4 by new years day?

$4.14/pound today, 2 weeks into the new year. Pretty steep spike over the past week.

Melt value of the copper in a copper penny is about 2.65 cents right now. Ebay prices on bulk copper pennies (delivered) appears to run as low at 1.90 cents per penny. Is that a typical exchange rate? 73% of melt value?

It would make sense, given how dirty and contaminated circulated copper pennies are. Refining them into 99.99% fine copper would probably involve at least 10% loss to slag and zinc, and the scrapper would need to profit too.