China’s Urban Migration Catapults Copper Prices to New Heights

The next phase of China's economic plan is fueling a relentless appetite for electricity, spiking demand for copper. That has moved investors to drive up the price of the metal, as well as the stocks of companies that mine it. Copper has risen 14% this year, with contracts traded on the London Metal Exchange tripling since December 2008. The Bloomberg index of world mining stocks this year has climbed 16% to the highest level since Aug. 1, 2008, driven by miners like Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX ), and Ivanhoe Mines Ltd. (NYSE: IVN ) " Copper is red gold ," Jeremy Gray, global head of resources at Standard Chartered PLC in Hong Kong told Bloomberg News . "We're on the verge of the biggest commodities bull market we have ever see." Gray predicts the metal could rise by 50% to $12,000 a metric ton in the next six to 12 months.