Copper surged 3 percent to hit 4-1/2 month highs on Thursday, boosted by a rise in U.S. durable goods orders and a jump in new home sales which lifted the outlook for the economy and demand (as noted by Reuters 3/26/09.)

We have seen a slight retreat today less than 2 cents/lb. It appears this might be in response to Industry News that 2009 will see a worldwide surplus in copper production of 500,000 tons. Continued uncertainty regarding the macro US economic outlook and a falling dollar all served to nudge Copper down. Recent data from analysts  have copper exchange prices dropping to an average of $1.30 in 2010.

From my perspective until US demand steadies and the general economic outlook improves I see price pressure on the downside for base metals especially copper. However, given the current markets volatile tendencies any efforts toward restocking would seem premature. http://www.forbes.com/feeds/reuters/2009/03/26/2009-03-26T172656Z_01_LQ244746_RTRIDST_0_MARKETS-METALS-UPDATE-6.html?loomia_ow=t0:s0:a41:g29:r2:c0.001800:b23294074&partner=loomia