China triggers up commodities
Posted by admin . Published on 17 March 2009, Received
The Chinese government efforts in stimulating their domestic economy through their 500 billion dollar spending program seems to be yielding some results. Decent to sharp recoveries have been noticed in many industries including steel, cement, infrastructure etc.
This has resulted in many industrial commodities including iron ore, copper, zinc, aluminum and crude gaining substantially in the last few weeks. These commodities have risen by anything between 10% to 30% over the last few weeks, much to the surprise of seasoned analysts. Most of the analysts warn that the current rally cannot be sustained without global economic recovery.
How long this is going to sustain…totally depends on revival of the US economy.
