The following is a transcription of The Market Herald Canada video above and has been edited for clarity.
Hello, and welcome to the Expert Exchange. We are joined in studio by Paul Stevenson, CEO of Sego Resources Inc. Sego Resources (TSXV:SGZ) is a copper- and gold-focused mining company, and today we’re going to chat about the price of copper and gold.
TMH: Gold has been on a bit of a run. It recently went up over $2,070 US an ounce. Why are we seeing this increase in gold right now?
Stevenson: I think gold is returning to its position as a safe haven. With the, U.S. interest rates expected to stay stable or come down, that will reflect in the U.S. dollar falling off, which would make gold the safe haven.
TMH: And what about copper? What are we seeing? Is it edging up?
Stevenson: Well, I’m very, very positive on copper. Two years ago, we were wondering if we’d ever see 4 (dollar) copper again. China was not building the infrastructure it had been in the past, but they haven’t decreased their copper imports.
In fact, they increased last year by 6 per cent. They’re building huge, renewable energy projects, and those require a great deal of copper. And what requires even more copper is connecting these grids to their grid. So I see very positive copper from China, and the Western countries have mandated electrification by law in many countries, particularly the richer countries. And that will help maintain copper as well.
So I see a very positive future for copper and gold.
TMH: And as we move into 2024, what is your estimation on what the price of gold or copper might be?
Stevenson: Well, having been through so many ups and downs in my history in this business, um, I’ll be a little cautious.
I’d say copper definitely will be over $4 in 2024. And I would expect gold to break $2,200 in 2024 as well.
TMH: For people that want to get involved with copper or gold because they’re seeing that this is, you know, possibly on the incline. What should they do? What’s some of your advice?
Stevenson: Well, all of the, all of the mineral resource companies are down. The majors are down, the juniors are right down.
I like to be involved in the juniors because the leverage is there. But they’re high risk, of course, but that’s why the leverage is there. And I think looking at your major producers is a good idea. And also definitely looking at the juniors.
As of Wednesday, the price of copper is sitting at US$3.88 and gold is at US$2044 an ounce.
For additional insight into gold investment, check out the different ways to invest in gold and the benefits of gold in a bear or bull market with Gwen Preston.
For additional copper information, check out “How to invest in copper” and “Let’s talk about the great copper squeeze”, with Nolan Peterson.
Join the discussion: Check out the rest of Stockhouse’s stock forums and message boards.
Join the discussion: Find out what everybody’s saying about Stevenson’s company on the SEGO Resources Inc. Bullboard investor discussion forum, and check out the rest of Stockhouse’s stock forums and message boards.
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