FCX Commodity BuLL is Back The global commodities boom is coming back at last. After five or six years of chronic underinvestment and a surge in demand for everything from metals to minerals, commodity prices could be ready to explode. Mentioned in today's commentary include: Agnico Eagle Mines (NYSE:AEM), Pan American Silver Corp. (NASDAQ:PAAS), FMC Corp (NYSE:FMC), Freeport-McMoRan (NYSE:FCX), Tyson Foods (NYSE:TSN).
As a sector-wide supply crunch looms, miners and producers are likely to lag behind the commodities themselves - giving savvy investors a great opportunity to find undervalued plays.
Rising geopolitical tensions, soaring global population, and a recent spike in market volatility only add to the urgency. It is the perfect time for a bull run in what analysts are calling 'the best commodity market in over a decade.'
5 Freeport-McMoRan (NYSE:FCX)
Copper mining ties in closely with economic growth due to its diversity of use. It is a core material when it comes to infrastructure and relatively inexpensive compared to other options. Copper is generally used in construction, consumer products, electrical applications, transportation and industrial machinery.
New markets are opening up for copper production, including the automotive sector - for use in high efficiency motors and electric vehicles, and in the renewable energy sector - for wind and solar power.
CEOs and stock analysts are bullish on copper in 2018, and with both China and the U.S. poised to go on a building spree, the demand for copper is set to increase dramatically over the coming years. Freeport-McMoRan is a giant in this space, with a current market cap of $ 26.495 billion and its share price having risen dramatically from $12.47 in April 2017 to $19.24 today.
Freeport is expecting its copper shipments to increase by 5.4% in 2018. It plans to transition to underground operations in Grasberg, the second-biggest copper mine in the world, and to grow long-term production, seeing a sharp increase around 2021-22.
One other company poised to boom as the global trade war heats up
Read more at https://www.stockhouse.com/news/press-releases/2018/04/26/the-commodity-bulls-are-back-at-last#W6ccfxCZxZ7skt6j.99