Correlations.

The above chart overlays AAPL stock and May Copper.   One is a tech company with some of the coolest consumer gadgets in the world…producing huge innovations, one after another, i-phones, i-pads, etc.  The other is a base metal, used in industrial applications. (Apps, we like to call them).  With all the pontificating and effort expended on CNBC to determine which company is going to blaze a trail to higher profits, it’s somewhat surprising that a base metal runs neck and neck with the stock that every portfolio manager owns.  Or….maybe it’s just a “risk on” trade.  Surprisingly enough, the upward trajectory for both came as the Fed was hinting about the beginning of QE2.   So I guess the question is, what happens in June when QE supposedly ends?

Posted on March 29, 2011 at 1:18 pm by alexmanzara · Permalink
In: Eurodollar Options

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