Reuters - copper's plunge. On the one hand you get this:
While copper's fortunes have largely tracked those of China for the past decade, this week's meltdown appears more rooted in a conflation of bearish factors: a flight by Chinese hedge funds from commodities; fears about oil-related contagion; and a seasonal dip in demand ahead of the Chinese Lunar New Year.Well that is insightful commentary.
The plunge was "driven by investor panic rather than the sudden deterioration in fundamentals and, as such, it could be swiftly reversed," said Capital Economics chief global economist Julian Jessop.
Of course, "investor panic" driven by "fears about oil-related contagion" can also mean that copper begins a short fast slide to $2 as the speculative premium gets wrung out, the way it was with oil. But the Chinese investor bit is insightful and interesting.
On the other hand the article also gives you this:
"They don't call it "Dr. Copper" for nothing," said Jeffrey Gundlach, co-founder of DoubleLine Capital, which oversees $64 billion in assets under management. "The drop in copper simultaneous with the collapse in crude oil can only be interpreted as an indication of slowing global growth."You fucking moron, Gundlach.
For those of you not clued in, "can only be interpreted as" is code for "I have no fucking clue and am just pulling theories out of my ass, but since I'm Jeff Gundlach everyone's going to ignore the shitstain on it and take it as some great insight from an investing genius. Throwing in a mention of 'Doctor Copper' will only make my uninformed bullshitting more palatable to the lamestream media, who will think I'm some sort of expert on the subject because I use an overtired, meaningless meme that they've heard of."
Dear Julian Jessop:
You might get paid only a fraction of what Jeff Gundlach makes, but at least you can go to sleep smug in the knowledge that your one quote in this article made you look ten times smarter than him.