An immediate consequence of the move has been a sell-off in the traded metals on expectations that China's demand growth will slow.
Commodity prices have come off (recently) and there is a perception (in the market) that mining companies have run a bit far and a bit fast.
Frankly, I think that's a very bearish signal and it's being swamped by the fall in commodity prices which is bringing the whole market down.
It may well be that fund buying of commodities keeps prices higher than they would be otherwise for longer, but it's quite dangerous because your level of confidence about that has got to be quite low.
The main reason (for the price declines) is that we saw very sharp falls in commodity prices pretty much across the whole spectrum.
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Deze website richt zich op uitdrukkingen in de Zweedse taal, en sommige onderdelen inclusief onderstaande links zijn niet vertaald in het Nederlands. Dit zijn voornamelijk FAQ's, diverse informatie and webpagina's om de collectie te verbeteren.