Artificial Copper - Manic Metals Report
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Has China just have removed the structural shortage for copper with a breakthrough technology and artificial intelligence?
Copper prices plunged after chenas “Deep Seek” stunned the Silicon Valley with its efficiency and the ability to solve problems without the heavy-duty expensive computer chips produced here in the United States.
It also would use less power needed whether this is a game changer for the artificial intelligence space remains to be seen but it is a wake-up call for those that believe that we would need a substantial amount of investment in power demand.
Yet Trump Sanctions may bring copper back.Reuters reported that – President Donald Trump’s vow of tariffs on U.S. copper and aluminum imports would result in higher costs for local consumers because of a shortfall of domestic production and the length of time it would take to renew the industry, analysts and industry participants said on Tuesday.
In a speech to Republican lawmakers on Monday, Trump said he would impose the tariffs on aluminum and copper – metals that are needed to produce U.S. military hardware – as well as steel, to entice producers to make them in the United States.
Regardless of the demand for artificial intelligence there’s still going to be very tight market for copper but obviously if they find ways to use artificial intelligence with less power consumption the market is not going to be as tight in the long run in the short term we still have a tight market and it’s going to be driven of course by sanctions and the strength of the US and the Chineseeconomy..
Interestingly enough to talk of sanction has caused the dollar and gold to rally at the same time the big spike in the dollar did put some downward pressure on gold initially but gold seems to be reversing bottom line here is that people are looking for alternative investments and that’s going to drive the market back up gold also dipped as Bitcoin took a little bit of a correction over continues to be the ugly metal that nobody seems to want but technically it looks like silver’s near the bottom look to buy calls on silver you were going to be.
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