Another Commodity Set To Fall In Price

As I've been writing to you about the coming fall in the price of copper, I've been researching the entire base-metals complex.

"Base metals" is the term used for the workhorses of the metals complex. They aren't flashy, like gold or silver. In addition to copper, we're talking zinc, tin, and nickel. These metals are used in steel production and various manufacturing applications.

I think they're all going to fall in price soon...

I've spent the last two essays telling you that "reported" copper stockpiles are near extraordinary highs right now, and several insiders believe there's even more "unreported" copper supply held by speculators and hoarders in China. But it's not just copper being hoarded.

Take zinc for instance. Zinc is a base metal whose chief application is for galvanizing steel to prevent rust. Like every base metal, the supply-demand dynamic follows a simple pattern. When people don't want something, prices fall and warehouses fill up. And when something is in demand, prices rise and warehouse supply plummets.

Here's how that's played out over the last decade...

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