w: www.basemetals.com | e: info@basemetals.com | t: +44 (0) 1799 516956
Metals off to a strong start, copper reaches $5,900

10/04/06

The metals continue to advance with further strength seen in early Monday trading with buying out of the Far East. Once again the Friday afternoon profit-taking sell-off was met by bargain hunting. The strike was ongoing at La Caridad over the weekend although it is hoped that government intervention will soon bring it to an end. Overall, however, the main buying still seems to be on the back of strong fund interest along with gold, oil and concerns over the potential for dollar weakness. The extent of the bullishness for the metals suggests that the funds maybe investing in all metals and not just gold, as a means of diversifying away from the dollar. This would help to explain why the base metals are being pushed to such an extent above their economic value.

With the Easter holidays being at the end of the week it will be interesting to see whether the fund buying continues throughout the week in which it looks like the $6000 level will be hit on copper, or whether the market starts to consolidate. Overall with copper prices pulling further away from their already steep up trend line the market is looking increasingly overbought, but it still seems to have strong upward momentum.

This week starts off on a quiet note for economic data with the first major release not until Wednesday’s International Trade data and the EIA petroleum status report.

- ends -

For further information please contact:

William Adams
Metals analyst, BaseMetals.com
press@basemetals.com
http://www.basemetals.com

BaseMetals.com
12 Camomile Street
London EC3A 7PT
UK

T: +44 (0) 20 7929 6339
F: +44 (0) 20 7929 2369

Live base metals price charts available at www.basemetals.com/freecharts/




BaseMetals.com Disclaimer and Privacy Policy

BaseMetals.com has taken every precaution to provide the most accurate information possible. However it is provided without warranty or claim of reliablity.

PLEASE READ THIS DOCUMENT CAREFULLY BEFORE ACCESSING OR USING THE SITE. BY ACCESSING OR USING THE SITE, YOU AGREE TO BE BOUND BY THE TERMS AND CONDITIONS SET FORTH BELOW. IF YOU DO NOT WISH TO BE BOUND BY THESE TERMS AND CONDITIONS, YOU MAY NOT ACCESS OR USE THE SITE. BASEMETALS.COM MAY MODIFY THIS AGREEMENT FROM TIME TO TIME, AND SUCH MODIFICATIONS SHALL BE EFFECTIVE IMMEDIATELY UPON POSTING OF THE MODIFIED AGREEMENT ON THE SITE. YOU AGREE TO REVIEW THE AGREEMENT PERIODICALLY TO BE AWARE OF SUCH MODIFICATIONS AND YOUR CONTINUED ACCESS OR USE OF THE SITE SHALL BE DEEMED YOUR CONCLUSIVE ACCEPTANCE OF THE MODIFIED AGREEMENT.

It is accepted by the site visitor on the condition that errors or omissions shall not be made the basis for any claim, demand or cause for action. The information and data were obtained from sources believed to be reliable, but we do not guarantee its accuracy.

YOU MAY NOT MODIFY, COPY, REPRODUCE, REPUBLISH, UPLOAD, POST, TRANSMIT, OR DISTRIBUTE, IN ANY MANNER, THE MATERIAL ON THE SITE, INCLUDING TEXT, GRAPHICS, CODE AND/OR SOFTWARE. You may print and download portions of material from the different areas of the Site solely for your own non-commercial use provided that you agree not to change or delete any copyright or proprietary notices from the materials. You agree to grant to BaseMetals.com a non-exclusive, royalty-free, worldwide, perpetual license, with the right to sub-license, to reproduce, distribute, transmit, create derivative works of, publicly display and publicly perform any materials and other information (including, without limitation, ideas contained therein for new or improved products and services) you submit to any public areas of the Site (such as bulletin boards, forums and newsgroups) or by e-mail to BaseMetals.com by all means and in any media now known or hereafter developed. You also grant to BaseMetals.com the right to use your name in connection with the submitted materials and other information as well as in connection with all advertising, marketing and promotional material related thereto. You agree that you shall have no recourse against BaseMetals.com for any alleged or actual infringement or misappropriation of any proprietary right in your communications to BaseMetals.com.

YOU ASSUME TOTAL RESPONSIBILITY AND RISK FOR YOUR USE OF THE SITE AND THE INTERNET. BASEMETALS.COM PROVIDES THE SITE AND RELATED INFORMATION "AS IS" AND DOES NOT MAKE ANY EXPRESS OR IMPLIED WARRANTIES, REPRESENTATIONS OR ENDORSEMENTS WHATSOEVER (INCLUDING WITHOUT LIMITATION WARRANTIES OF TITLE OR NONINFRINGEMENT, OR THE IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE) WITH REGARD TO THE SERVICE, ANY MERCHANDISE INFORMATION OR SERVICE PROVIDED THROUGH THE SERVICE OR ON THE INTERNET GENERALLY, AND BASEMETALS.COM SHALL NOT BE LIABLE FOR ANY COST OR DAMAGE ARISING EITHER DIRECTLY OR INDIRECTLY FROM ANY SUCH TRANSACTION. IT IS SOLELY YOUR RESPONSIBILITY TO EVALUATE THE ACCURACY, COMPLETENESS AND USEFULNESS OF ALL OPINIONS, ADVICE, SERVICES, MERCHANDISE AND OTHER INFORMATION PROVIDED THROUGH THE SERVICE OR ON THE INTERNET GENERALLY. BASEMETALS.COM DOES NOT WARRANT THAT THE SERVICE WILL BE UNINTERRUPTED OR ERROR-FREE OR THAT DEFECTS IN THE SERVICE WILL BE CORRECTED.

IN NO EVENT WILL BASEMETALS.COM BE LIABLE FOR (I) ANY INCIDENTAL, CONSEQUENTIAL, OR INDIRECT DAMAGES (INCLUDING, BUT NOT LIMITED TO, DAMAGES FOR LOSS OF PROFITS, BUSINESS INTERRUPTION, LOSS OF PROGRAMS OR INFORMATION, AND THE LIKE) ARISING OUT OF THE USE OF OR INABILITY TO USE THE SERVICE, OR ANY INFORMATION, OR TRANSACTIONS PROVIDED ON THE SERVICE, OR DOWNLOADED FROM THE SERVICE, OR ANY DELAY OF SUCH INFORMATION OR SERVICE. EVEN IF BASEMETALS.COM OR ITS AUTHORIZED REPRESENTATIVES HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, OR (II) ANY CLAIM ATTRIBUTABLE TO ERRORS, OMISSIONS, OR OTHER INACCURACIES IN THE SERVICE AND/OR MATERIALS OR INFORMATION DOWNLOADED THROUGH THE SERVICE.

BaseMetals.com makes no representations whatsoever about any other web site which you may access through this one or which may link to this Site. When you access a non-BaseMetals.com Web site, please understand that it is independent from BaseMetals.com, and that BaseMetals.com has no control over the content on that Web site. In addition, a link to a BaseMetals.com Web site does not mean that BaseMetals.com endorses or accepts any responsibility for the content, or the use, of such Web site.

You agree to indemnify, defend and hold harmless BaseMetals.com, its officers, directors, employees, agents, licensors, suppliers and any third party information providers to the Service from and against all losses, expenses, damages and costs, including reasonable attorneys' fees, resulting from any violation of this Agreement (including negligent or wrongful conduct) by you or any other person accessing the Service.

contain projections or other forward-looking statements regarding future events or the future financial performance of BaseMetals.com Limited. We wish to caution you that these statements are only predictions and that the actual events or results may differ materially.

This agreement shall be construed according according to the laws of the United Kingdom.

© 2005 BaseMetals.com

BaseMetals.com is a trading name of TheBullionDesk Limited