New mines supplies of copper will be limited. The world will be in a copper deficit over the coming years. Only a sharp increase in recycled copper will also reduce the future deficit in copper.
Inflation has clearly arrived, but the first wave looks exhausted and the “hawk talk” from “Fiat Fed” has the overleveraged hedge funds liquidating COMEX market positions with a loss of confidence.
Gold demand seems to be dropping. Swiss gold exports fell 37% in May. Sales to India fell 96% to 2 tons. Shipments to China fell 19% to 32.8 tons and exports to Hong Kong dropped to 3.8 tons.
Follow the money. There is far too much of it floating around. We note the huge rise in money supply although not in our opening piece that looks at the Fed its pronouncements along with debt, debt/GDP and the debasement of the currency.
