[bazanster2]

BG,

Didn't like the afternoon action yesterday on the Street.
Going with DOWN on Thursday.

Copper has sold off signifcantly since early May.
There maybe a slight rebound into a trading range, but would be surprised it Copper is at this
price level in 6 to 12 months out if weakness in Homebuilding continues.
Expecting more selling short-term.
Long term prospects extemely bright.
Also anticipate further weakness in Aluminum and nickel.

There has been a tremendous amount of runs in the Commodities Markets.
Corn has had a truly amazing run this year.
These spikes tend not to be too long in duration, especially in the food commodities.
There are some very good opportunites here. We'll try to catch the corn top.
Several commodities are still streaking upwards and others topping out. Like Copper.
Phelps Dodge Puts would be a good way to play the copper correction.
Looking at Phelps Dodge, noticed that despite the recent sell-off in Copper,
the Stock is just slightly below it's 52 year high.

Would suggest the July 2007 115 Strike Put for $500
Symbol is DPBSC.X

Another play would be the Jan. 2008 105 Strike Put for $420.
Symbol is LWLMA.X

PD had 52 week trading range of between the low of 65.14 and the high of 124.75
If Copper sells off, then these Puts have a very good chance of being in the money.
We'll track them and see how they do.
Copper may very well have a short term rebound because it has sold off a bit,
but still expect lower levels.

gl,

baz