You see at current prices, silver and gold are, let’s face it, outside the reach of many people. But, for the same price you can buy only one ounce of silver or gold, you can get many times that in copper.
Copper’s been around for 10,000 years. Copper is used in industry. It’s used in jewelery. There are probably copper pipes in your house and copper pennies under your couch. And, more and more Americans, are now buying 1-ounce copper rounds…
…like the copper rounds you can buy at YouGetGold.
Believe it or not, there are actually plenty of options for owning physical copper or copper bullion. No, not just pennies. Though it may seem like an unconventional investment, considering that copper plumbing and wiring is a popular item for theft from construction sites, buying the physical metal may not be a bad idea. There is clearly a demand for the commodity and owning bullion is a guaranteed way to maintain safe and steady exposure. There are a number of decorative copper coins that come in at a nice low cost to investors, much like the coins that can be bought for silver and gold. (Source: SeekingAlpha, 2011 October 13)
Among those doubting the Eurozone’s capacity to drag itself out of this mess is Dennis Gartman. From Monday’s Gartman Letter:
Greece cannot and will not defy her creditors entirely. […] When her next round of massive debts come due in late March, Greece will default in some fashion. It is not a matter of if Greece shall default; it is but a matter of how she shall do so.Simply put, Greece is toast. She cannot and she will not be allowed to remain in the EUR-zone. She owes something on the order of €100 billion, give or take ten billion or so, and she needs to roll over at least €2 billion this month and €17 billion next.
Gartman has been moving out of gold and into copper, as a response. Metal market dynamics have seen copper outperform on recent strength from a solid U.S. jobs report, and news that China might engineer a soft landing. Gold, on the other hand, has fallen after a solid performance in January. (Source: Forbes.com, 2012 February 6)
Rogers thinks that the recent decline in gold and copper is nothing more than corrections in a major bull market, and it still has years to go. Rogers argued that massive money printing will make investors put some of their money in the stock market, but that more money will go into commodities. Whenever paper money is debased, people will want to own real assets. Nevertheless, Rogers isn’t terribly bullish about stock markets anywhere in the world.
“If the world economy gets better, commodities are gonna make a fortune. If the world economy does not get better, commodities are the place to be because they’re gonna print more money, and that’s how you protect yourself. This is time when you should own real assets, not stock and bonds,” Rogers said. (Source: Wall St. Cheat Sheat, 2011 January 27)
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