By Allen Sykora
Goldman Sachs envisions further upside for a number of base metals. “For Copper in particular, we maintain that the winding down of destocking will Lead to a stronger Chinese pull on global supply in 2H2011, tightening the market and generating further price upside later this year,” Goldman says.
“We also maintain that Zinc price risk is skewed to the upside given our view of developing deficits in 2012, and believe that aluminum prices will continue to be buttressed by our view of higher oil prices over the next year.”
Goldman’s three, six- and 12-month LME forecasts per metric are as follows; aluminum, $2,700, $2,850 and $2,900; copper, $9,450, $9,800 and $11,000; nickel, $24,000, $24,000 and $23,000; and zinc, $2,400, $2,500 and $2,700.
By Allen Sykora of Kitco News; asykora@kitco.com |
