It seems like a scene out of the movie Groundhog Day when Greece debt problems is once again the leading story on the morning financial news and with the countries unemployment rate currently at 25.8% we suspect the problems won’t be disappearing anytime soon.
In the USA, on Monday the population celebrated a public holiday for President’s Day (also known as George Washington’s Birthday). Traditionally is has also become well known for being a day on which many retail stores hold sales and keen shoppers head to the malls.
In China, the 15 day celebration for Chinese New Year (officially Thursday 19 February) has meant many businesses have already closed down. This year a lot of businesses are taking the full 2 weeks leave and the Government expects about 2.8 billion trips by train or bus as workers head out the rural countryside to see their extended families
On the LME it has been a quiet week and it’s expected to remain so with China on holidays.
**** METALS-London copper edges up as trade falls off on holidays **** Mon Feb 16, 2015 7:37am GMT Copper finds support from expectations of dimming surplus By Melanie Burton
MELBOURNE, Feb 16 (Reuters) – London copper edged up towards a three-week top on Monday, underpinned by a slightly weaker dollar, as volumes dwindled ahead of Chinese New Year and with a holiday in the United States. As well as a softer dollar, last year’s huge drop in oil prices was set to boost infrastructure demand, brightening the outlook for commodities, said Jonathan Barratt, chief investment officer at Ayers Alliance in Sydney. ”The way I’m reading copper at the minute, is structurally, technically it looks very positive. (Also) Given where we’re at with a diminishing surplus, that will swing around to a deficit and will start to panic the Chinese buyers,” he added. Three-month copper on the London Metal Exchange edged up by 0.2 percent to $5,747 a tonne by 0721 GMT, from the previous session when it hit its highest since Jan. 21 at $5,793.50 a tonne.