Is This The End Of The Commodities Super-Cycle?

By MetalMiner: By Lisa Reisman Never one to miss an issue of the Economist, any metal buyer will find the historical analysis of prior commodity price booms and busts a worthwhile read.

If you said a short list of commodities manipulated by the Too Big To Prosecute banks, you are probably right, but the answer we were looking for is that these are all the various, and increasingly more ridiculous, commodities that serve to make up the bulk of China's hot money flow (those flows into China which are not reflected in the current account flows or FDI) facilitating synthetic structures, also known as Chinese Commodity Funding Deals.

By MetalMiner: By Stuart Burns

By MetalMiner: By Stuart Burns The media has been awash over the last 12 months with headlines about the commodities super cycle being dead, and indeed, metals prices have been so lackluster over the last six months that it would be hard to argue otherwise.

There’s no denying China’s massive economic growth over the past decade, as the country recorded an average GDP of more than 10 percent per year. In only seven years, China’s economy doubled; in 13 years, it tripled.

There’s no denying China’s massive economic growth over the past decade, as the country recorded an average GDP of more than 10 percent per year. In only seven years, China’s economy doubled; in 13 years, it tripled.

The super cycle in commodities has come to an end, according to researchers at Citi, who downgraded several mining stocks on Monday as metals prices have continued to decline since the start of the year.

LONDON – Following a half-decade-long boom in demand from China, the price of iron ore dropped sharply in 2012. While it bounced back a bit toward the end of the year, the price remains far below its February 2011 peak, and analysts say it is unlikely to return to those heights in the foreseeable future.   The price of iron ore, the raw material used to make steel, is a bellwether for manufacturing and construction and its price fluctuations, much like the price of crude, reflect the health of the global economy.