Copper Prices May Bounce Back on China GDP After Virus-Induced Selloff

It seems the virus-induced global economic slowdown has only amplified the impact of the copper prices hike. The latest global economic report suggests that China’s GDP might dip and other economies will fall, with a possible bump in copper prices after a few months. There is a chance that the downward trend may ease as copper prices recover.

The world economic report is published every six months by the International Monetary Fund and World Bank, along with various other financial institutions. This is the most authoritative source for the entire world economy.

However, copper prices did rise slightly, just to the tune of about two dollars per pound. Chinese copper prices have risen along with the overall market and may rise further.

The recent world economic report is based on the “official” data from the country’s economy. This data was so censored that the Chinese government issued an order to all media outlets not to publish it.

If this data is accurate, China will be the first developing country to experience a decline in its GDP after an economic recession. There is a possibility that other developing countries will experience similar trends in the near future. These other countries include Brazil, Malaysia, India, Russia, Turkey, and Vietnam.

It seems the virus-induced global economic slowdown has only amplified the impact of the copper prices hike. The latest global economic report suggests that China’s GDP might dip and other economies will fall, with a possible bump in copper prices after a few months.

The world economic report is published every six months by the International Monetary Fund and World Bank, along with various other financial institutions. This is the most authoritative source for the entire world economy.

Other sectors of the world economy will continue to grow and industrial goods demand should improve. The reason is clear – industrial goods demand and growth always outpace any domestic economic factors.

Some economists believe that the declining GDP might actually boost the China economy in the short term. However, it is difficult to explain how a growing country like China can experience a decrease in its GDP after a period of recession.

This is one of the reasons why the country has announced the implementation of stimulus packages to achieve its economic goals. If the details are proven true, the government is likely to dole out billions of dollars in public funds and other types of aid to the nation’s investors.

If China can successfully implement this plan, it would mean that it will solve the problems it faces during its slowdown. It will give hope to many investors that the financial markets can recover, and they will then invest in other sectors.

However, it is hard to predict how the copper prices may bounce back. The precise timing of these decisions is difficult to pinpoint, since the government cannot just announce another stimulus package anytime it feels like it.

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