(12/04) Higher copper prices to hurt equities - Canada fund

April 12, 2011
copper prices around USD 4 per lb are ideal for copper producers and a further sharp rally would hurt the mid term outlook for the sector.

A senior portfolio manager with Canada's largest institutional fund said that copper remains unbeatable when it comes to conducting electricity but around these price levels there are cheaper substitutes for many applications. High prices also encourage scrap metal recycling.