Have you missed the rally in copper?

Catherine Raw, co-manager of the BlackRock World Mining fund, explains why, despite a volatile ride, copper prices are likely to be higher in the next 10 years than they were over the last decade

Copper, often seen as a bellwether for the health of the industrial economy, has had a volatile ride over the last six months. The price fell more than 26% during September and October 2011, only to recover the majority of these losses by early February 2012. Despite this volatility, we feel that the long-term prospects for the red metal and the share prices of copper producers are strong, due to long-term demand and supply forces that should keep prices high and profit margins wide. Copper is subject to three issues that are constraining supply growth. Firstly, mines are struggling to m...