Copper continues to play an important role in the

Copper continues to play an important role in the world as its superior electrical conductivity, corrosion resistance, structural capability, efficient heat transfer and aesthetics make it a popular ingredient of many industrial products.

First mined by man more than 10,000 years ago,  copper today is one of the most common and versatile metals in use around the world. It is an internationally traded commodity, and its price is effectively determined by the major metals exchanges- the London Metal Exchange, the New York Commodity Exchange and the Shanghai Futures Exchange. Prices on these exchanges generally reflect the worldwide balance of copper supply and demand, but from time to time, they are also influenced significantly by investment flows and currency exchange rates.

Copper prices have rallied over the past 3 months, rising from about $3.45/lb to about $3.70/lb at today's prices. The rally is expected to continue as the economic data from some of the world's biggest economies continues to improve.

The economic data has been the big driver behind copper gains, and here is an overview. The news from China has been positive. China's economy grew by 7.9% year over year in the fourth quarter, up from 7.4% in the third quarter. The news provided  relief to commodity bulls , who feared that the world's second-largest economy may have continued to slow after growing at the weakest pace in three years in Q3. Instead, it seems as if China's growth may have stabilized above the official government target of 7.5% -- a positive outcome.

Analysts have also come out positive on the metal.  One analyst recently said that the economic recovery and growth should push prices up. "Copper is one of those metals that people feel is linked to the industrial cycle," said Carole Ferguson, an analyst at SP Angel Corporate Finance LLP, a broker and adviser in London. "Demand is obviously returning, we've had good numbers coming out of China and the U.S. definitely looks as if it's in a recovery trend."

HSBC raised its  2013 copper price forecast , saying it expects positive sentiment to drive prices for the metal in a structurally balanced market. The bank lifted its 2013 forecast for the average cash copper price to $8,000 per ton from $7,500 (London's copper metric) to reflect the metal's relatively good start to the year. "Copper, perennially described as fundamentally tight, actually finished 2012 posting a gain in inventories," analyst Andrew Keen said in a note to clients. "This market remains balanced in our view, and this is enough to keep prices high when sentiment is good."

With that said, the copper sentiment is positive, and should continue to be so. As a result SIRG shareholders will benefit from the rise in copper prices.