Explaining Commodities (Scene)
Mish Talk headline: Citigroup Takes Delivery Of 100,000 Tons Of Aluminum And 40,000 Tons Of Zinc
When you are speculating on commodities (like coffee, tea, or aluminum, or orange juice like in Trading Places) the idea is unload your purchase onto someone who actually wants it rather than to take possession of it, because then you would need some place to put it. Evidently Citigroup has leased some warehouse space in Taiwan to store these ingots, so they are jumping in with both feet. Okay, that's fine by me. I ain't playing on the London Metals Exchange.
But then we have this line from Mish:
Much if not most of these metals are of Russia origin. But that’s OK because the Biden administration placed no bans on Russian aluminum or zinc.
So evidently Russia is not the devil incarnate, they are only bad if they sell cheap gas and oil to Europe.
1 comment:
Why does it have to be "the devil incarnate" or Mary Poppins, can there be no in between?
The purpose of sanctions is to choke the flow of cash to the government not put ordinary Russians out of work.
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