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Opinion - Copper, Aud Potential Crashes

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Rest in Peace
biggfredd's Avatar
United States
9104 Posts
 Posted 11/07/2011  05:59 am Show Profile   Bookmark this topic Add biggfredd to your friends list Get a Link to this Message Number of Subscribers
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trout1105's Avatar
Australia
7096 Posts
 Posted 11/07/2011  06:41 am  Show Profile   Bookmark this reply Add trout1105 to your friends list Get a Link to this Reply
Geez some of these blokes can talk some .
Where does this bloke get off talking about copper futures and the Aussie dollar.
Copper is not one of our major exports.
Just because it's all doom and gloom in the states dosen't mean we Aussies have to follow along like a bunch of lemmings.
Unemployment is low here and we are doing just fine thank you, Because we tightened our belts during the Malcome Frasier era and we are still stiving to live within or means and not take the easy way out and borrow/mint money.
Just because some clown on wall st is concerned about his copper futures dosn't mean the Aussie dollar will collapse.
That Clown should get up in the morning and actualy produce something instead of mouthing to the wind.
There are too many talkers and not enough DOOERS in the world as it is.

Well I've had my rant and I feel better now.
Gotta get up early tomorrow and help keep the Mines in Western Australia producing
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sel_69l's Avatar
Australia
21786 Posts
 Posted 11/07/2011  07:04 am  Show Profile   Bookmark this reply Add sel_69l to your friends list Get a Link to this Reply
The basis for current strength of the Australian economy, and therefore the AUD, is the boom in the export of base metals, coal and gas, mainly to the growing Chinese economy.

The Chinese are inveterate gamblers, more so than the Wall Street bankers. If the Chinese economy takes a nosedive (most probably caused by growing too fast), the Australian economy will be trashed. Australia is just way far too depedent on her minerals exports.

The copper price is just a good indicator of how the Australian economy is travelling. Commodities prices can be volatile, and that, very unfortunately, is what the Australian econmomy is dependent on.

Like the U.S., a huge proportion of Australian manufacturing potential was exported to China. There WILL be serious consequences for Australia, if the Chinese economy nosedives.
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trout1105's Avatar
Australia
7096 Posts
 Posted 11/07/2011  07:31 am  Show Profile   Bookmark this reply Add trout1105 to your friends list Get a Link to this Reply
The Chinese may be gamblers but at least they are using their own money, Unlike the Wall st bankers that just know that they will get bailed out.
I think it is ambition and not greed that is fuelling the Chinese economy, that is a good thing for China because ambition breeds innovation.
Yes I agree that if China hits the wall we will cop a few bricks on the head but I can't see this in the near future.
I am more concerned about the US economy, as this will affect us and the rest of the world a lot more than China ever will.
Rest in Peace
biggfredd's Avatar
United States
9104 Posts
 Posted 11/07/2011  09:47 am  Show Profile   Bookmark this reply Add biggfredd to your friends list Get a Link to this Reply
Nice to see OZites are no better in coming to agreement than USAites.
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Peter THOMAS's Avatar
Australia
2830 Posts
 Posted 11/07/2011  12:21 pm  Show Profile   Bookmark this reply Add Peter THOMAS to your friends list Get a Link to this Reply
Trout, you're about five years behind the times.
Treasurer COSTELLO eliminated government debt, and started "saving": remember "The Future Fund" ?
The K.RUDD & GILLARD governments have squandered all of that, and got us massively into debt, with "stimulus packages". And there's only a faint hope that Labor will reverse the habit of a lifetime, and actually deliver a budget surplus:
http://www.theage.com.au/national/s...7-1n3ww.html

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Ed_B's Avatar
United States
4008 Posts
 Posted 11/07/2011  8:21 pm  Show Profile   Bookmark this reply Add Ed_B to your friends list Get a Link to this Reply

Quote:
Unlike the Wall st bankers that just know that they will get bailed out.

Yeah? Well tell that to Lehman Bros. and MF Global. Squish...
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