CHINESE SHARE SCARE: Expect violent price swings in copper

Metal markets have rebounded somewhat after the violent falls seen earlier this week, so what is likely to be copper's course over the days and weeks ahead?

Unlike earlier efforts, the latest measures to prevent a full-blown crash in equities markets appear to have been received well by Chinese investors, leading to a 5% rebound in the Shanghai Composite on Thursday. Whether the renewed confidence lasts remains to be seen, but in equity and commodities markets alike, price swings are likely to be violent in the coming days, whether the moves are to the upside or the downside, sources said. Copper’s $350 intraday swing from its high to low on Tuesday was the largest seen since Chinese hedge funds sold the contract...


Mark Burton

July 09, 2015

16:27 GMT