Copper vs Stock Prices in US & China

The price of a pound of copper has been hovering around $4.00, after peaking at a record $4.62 on February 14. Both the S&P 500 and the Shanghai-Shenzhen 300 Composite have been highly correlated with the price of copper over the past few years.

However, US stocks are up 4.7% ytd, while Chinese ones are down 1.2% over the same period. Professor Copper suggests that for now there may not be much more upside in the US nor much more downside in China.