Watch Copper Today (JJC, FCX)

Copper is getting hit hard today, down over 1% as Federal Reserve Chairman Ben Bernanke holds his first ever press conference after the FOMC meeting concludes today.

Copper is a leading indicator of economic demand, as it's used it pretty much everything, from housing, wires, and thus higher prices signal a strengthening economy.

Copper got beat up yesterday, and is taking it in the chin today, and the metals money is generally seen as smart money, along with the Treasury market. The yields on Treasuries are falling, suggesting that the stimulus and punch bowl might be taken away from equities.

If traders believe this is true, then going short copper, and copper related equities, such as iPath Dow Jones-UBS Copper Subindex Total Return ETN (NYSE: JJC) and Freeport McMoran (NYSE: FCX) might be a profitable trade.

Gold and silver are slightly higher, with silver up more than gold, so that does not lend support to this thesis, but we've also seen the Volatility Index (VIX) rise, and we haven't seen a 10% correction in about 340 days.

One thing is for sure. The whole world will be watching, listening and dissecting everything Bernanke has to say at the press conference. This is sure to go down in the history books, and only time will tell how it's written.