Back in April 2014, the main reason why we said buying Glencore CDS is the best way to trade the upcoming Chinese credit-commodity crunch was because it was basically stacking leverage, with CDS being a massively levered way to short credit, upon leverage as Glencore had $1.2 billion of profit exposure to every 10% drop in copper, upon leverage, as copper is in turn levered to China's credit bubble, upon even more leverage, with Glencore's dirty not so little secret of $100 billion in counterparty exposure now revealed.

This combination of leverage upon leverage upon leverage upon leverage, coupled with the anticipated China "hard landing" catalyst, made long Glencore CDS (which were then trading near record tight levels) not only the best-performing trade of 2015, but as we expected, turned into the best way to trade China's economic slowdown and alleged hard-landing: alternatively, anyone who had shorted Chinese equities in anticipation of China's various bubbles bursting when the SHCOMP was at 2000 over a year ago, is now flipping burgers.

But another question has emerged in recent days: is copper truly the most levered way to bet on China? According to a new analysis by Goldman, copper is "only" the third most levered commodity to Chinese demand.