Canaccord keeps Lundin Mining at hold
Canaccord Genuity analyst Dalton Baretto says Russia's unprovoked attack on Ukraine has brought "significant gyrations in commodity markets that were already extremely tight. Mr. Baretto says in a note: "Russia (and in the case of Fe pellets, Ukraine) is a top-10 producer of most industrial commodities. Almost all commodities achieved all-time highs during the quarter, based on actual disruptions, stockpiling given uncertainty, and sentiment as reflected on futures exchanges. ... From a geopolitical and global trade perspective, we believe what we are seeing today is the equivalent of Pangaea breaking apart, and that we are in the early days of the global economy splintering into two blocs. These machinations will be significantly inflationary." Mr. Baretto expects a "volatile" environment to persist through 2023 as major supply-demand issues continue to emerge. "We prefer equities with clear growth trajectories and potentially meaningful positive catalysts in 2022." Mr. Baretto continues to rate Lundin Mining "hold." He boosted his share target by a loonie to $13.50. Analysts on average target the shares at $13.67.