RE:RE:Any CU in them thar hills?
You might imagine copper would be in great demand post-Covid as EV and alternate clean energy like solar and wind power get massive investments.
There is also a school of thought on market cycles that says the consumer durables and materials is one of the later sectors to benefit from a long bull market ... and we are in the late innings of a huge bull run facilitated by a central bank experiment in liquidity beyond anything seen in our lifetimes.
Third world demands as well follow on global rebalancing - all those factory workers making some money in places that previously had little want durable goods that use lots of industrial metals. They put more of their disposable cash into items with copper content than developed economy workers - air conditioners ,refrigerators, plumbing fixtures etc. Developed nation - electric grids, charging infrastructure for EV’s, general infrastructure wiring and plumbing.
So then, what about supply side? The rise of prices will expand economic resources and reopen mothballed operations. But discoveries and higher grades have not kept up with depletion. So prices should continue up ... provided the US dollar does not strengthen. A weak dollar is almost always coincident with a commodity bull cycle.
Couldn’t comment on specialty metals ... i guess if global rebound is strong all metals might do pretty well, but I don’t follow other metals.
I’m long copper and gold. There have been people predicting copper deficits for years, they haven’t come to pass yet. We’ll see.
cg