Materials and commodities stocks should be the place to watch early Monday as a weak dollar is translating into higher prices for the raw ingredients of industry. Copper is up more than 3% at last glance. Crude is up about 1%. And even gold, which has lagged somewhat, is getting in the action Monday.
While it might lack some of the glitter of gold, copper holds a unique place among metals for what some say is the its uncanny ability to divine the direction of the economy. Widely used in construction and in an array of electronics and telecommunications equipment, copper is sometimes called “Dr. Copper” — the metal with a PhD in economics — by Wall Streeters who believe prices can flag turning points in the global economy.
The industrial metal is up about 4.7% since the end of 2009. Better than the 3.6% gain in the S&P and the 1.7% move higher by crude. But copper has been picking up speed in its move higher, rising 6.7% since the end of February.
