After a few weeks of a strengthening dollar and (another) terrible new housing report, copper finally collapsed like I thought it would, and boy did it ever.. today it lost eleven cents/oz, closing at $3.2225. My "sell" order was for $3.25 with a five cent trailing stop. I'm putting in another order to "sell" a second copper contract at $3.12
I will also be keeping an eye on corn.. I'm thinking that we will have a nice bull market this year; I'll start nibbling at this when corn sinks near or below $3.00/bu.
Today the Greek problem got worse; word was that the Chinese were getting cold feet in negotiating the purchase of $35 billion in Greek debt. Worse (and this is what scares me) is that other Mediterranean nations with problems are also beginning to slide; Portugal, Spain and even Italy saw increases in Bond rates today. CDS rates for these nations are headed north on a daily basis. My fear is that by the time Greece needs to be bailed, confidence in others will collapse and they, too, will need bailouts in short order. This will play hell with the Euro. Ultimately, however, I do see them all getting a bailout.
http://yrah53.wordpress.com/2010/01/27/greece
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