Copper is trading at a 10-month high on global demand. Peter Kenny, managing director at Knight Equities, told investors how to trade and make money from the commodity.
“The global demand for copper is really starting to pick up,” Kenny told CNBC.
“Not just because of globalization, GDP stabilization, but because demand is actually picking up sequentially—in Asia particularly.”
Kenny expects copper prices and demand will rise further once the housing market stabilizes in the U.S.
“[Prices] are up 166 percent year to date and it’s up 7 percent today,” he said. “Basic materials is up 2.6 percent on in the day. It’s a sector that has really led the market higher.”
Freeman-McMoRan—“They are the lowest cost producer of copper in the world, they have the largest production facility globally in the world and their copper is the cheapest to get to market,” Kenny said of the company.
“Bulk rates are at their multi-year lows—they have an awful lot going for them.”
No immediate information was available for Kenny or his firm.
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