Steel and aluminum are getting all the attention these days n++ and perhaps rightfully so, given the international row over the U.S.s steel and aluminum tariffs and the subsequent crossfire of counter-tariffs. But copper, often referred to as n++Dr. Coppern++ for its usefulness as an overall indicator of economic health, is also undergoing important developments.As is always the case with copper, labor negotiations in Chile, the worlds top copper producer, play a key role in the metals price. The prices have been overstressed a bit in last few days.
Already sliding down from monthly tops in domestic markets, a double bottom formation is in the making. Breaking levels of Rs 445 per kg on closing basis would be disastrous for Copper with prices expected to fall towards Rs 420 per kg in short to medium term. On LME, from top of $ 7312 per tonne in mid June 2018, prices of Copper have debacled to $ 6715 per tonne. Further weakness in the red metal cannot be ruled out.
In a major turn of events, Emerging copper developer Hot Chili is scaling up its prospectivity in Chile, starting drilling at two new projects that have seen little exploration in 50 years, just 20km from its large-scale Productora copper project. First drilling has just got underway at your El Fuego copper project (90% option), starting with the San Antonio then Valentina mining areas.