Copper 02 (Nov 12 - Dec 25)

[winston]

Copper's time to shine as inflation hedge

by Andrew Wong

Electric cars, for example, use an average of 183 pounds of copper compared to conventional cars which need only 43 pounds on average.

Green polices not only promote electric cars but also clean energy. So attention needs to be paid to industries such as solar and wind power and how they will stimulate demand for copper and other resources. Wind turbines, for instance, need an average of 800 pounds of copper.

Thus, the price of copper is expected to be driven by demand and continue to rise.

So, if analysts believe that inflation could worsen and that copper is the best hedge due to policy reasons, what about traditional gold?

In the past, gold has failed to fight against inflation and its ability to hedge was worse than silver. It is largely believed that gold, at its current level, is of little use, unlike copper or silver.

Therefore, while gold might be a good hedge against US dollar weakness, it is not an ideal hedge against inflation.

The S&P 500 too will be a good hedge against inflation, as it has been performing well. So copper, lithium, cobalt and alternative energy stocks are good hedges against inflation.

Source: The Standard

https://www.thestandard.com.hk/section- ... tion-hedge

[winston]

not vested

Copper hits over eight-year high on strong demand, tight supply outlook

by Enrico Dela Cruz

China's copper inventories have dropped to near-decade lows at a time when demand is supposed to be tepid because of the holiday.

Other industrial metals also rose, further boosted by hopes of a massive US coronavirus relief plan under the Biden administration.

"Even as battery makers around the world look to invest in new capacity, mainland China will still be the largest producer of EV batteries by 2030, accounting for around two-thirds of total base case global manufacturing".

Source: Reuters

https://www.theedgemarkets.com/article/ ... ly-outlook

[behappyalways]

Copper hits record

Sticker Shock" At The Grocery Store Imminent As Ag Futures Surge Most In 8 Years
https://www.zerohedge.com/personal-fina ... st-8-years

[investar]

https://aheadoftheherd.com/copper-the-l ... t-more-of/

interesting story.

Copper producers or explorers?

SLS (Solaris) has had a great run already.
MARI.TO (Marimaca) is probably at the beginning. Part 1 of their drill results looks excellent.
QCCU.V (Quebec copper & gold) has a great project in Canada, lower grades though, but best jurisdiction and with the FIND.V equity position as bonus.
MGG.V has several promising copper exploration projects in Mexico, but they have not focused on any of those projects as of today.

APN.V (Altiplano) is already producing at today's prices, and can fund its exploration program by itself.
Probably the most interesting copper pick at this moment?

[winston]

Caution: Avoid This Commodity Right Now

by Brett Eversole

Copper has more than doubled since bottoming last year.

Positive sentiment from futures traders hit an all-time high at the end of 2020. It neared those levels again in February.

Source: DailyWealth.com

https://dailytradealert.com/2021/05/16/ ... right-now/

[investar]

I would not avoid copper exposure at this moment... all fundamentals point to a major supply/demand gap in the next years, and certainly towards 2030

If the various infrastructure plans have to become reality, then there simply is not enough copper available

[investar]

The outlook for copper:

https://www.youtube.com/watch?v=qnaxkWgs5dk


Long but interesting

Copper has been hitting all-time highs in 2021 and we're going to figure out if the metal and copper mining stocks are overbought - or if this is just the beginning. We dive deep into both sides of the argument for copper with a panel of the most influential investors in the copper sector. These investment gurus share their thoughts on the factors driving copper prices - including inflation, supply shortages, and the green energy revolution - as well as copper stock picks and forecasts for 2021. We also talk to a shortlist of 3 CEOs of copper companies with the potential to deliver big returns in a copper bull market.

If you enjoyed this content, sign up for Jay's FREE weekly newsletter at www.JayMartin.club

Timestamps
0:00 Intro
2:41Tavi Costa | Crescat Capital
32:34 Shawn Wallace | Torq Resources Inc
50:44 Warren Irwin | Rosseau Asset Management
1:28:26 Rick Trotman | Barksdale Resources
1:42:15 Jamie Keech | Resource Insider
2:09:20 Mark O'Dea & Peter Bell | NorthWest Copper
2:26:34 Rick Rule

[investar]

The outlook for copper:

https://www.youtube.com/watch?v=qnaxkWgs5dk


Long but interesting

Copper has been hitting all-time highs in 2021 and we're going to figure out if the metal and copper mining stocks are overbought - or if this is just the beginning. We dive deep into both sides of the argument for copper with a panel of the most influential investors in the copper sector. These investment gurus share their thoughts on the factors driving copper prices - including inflation, supply shortages, and the green energy revolution - as well as copper stock picks and forecasts for 2021. We also talk to a shortlist of 3 CEOs of copper companies with the potential to deliver big returns in a copper bull market.

If you enjoyed this content, sign up for Jay's FREE weekly newsletter at www.JayMartin.club

Timestamps
0:00 Intro
2:41Tavi Costa | Crescat Capital
32:34 Shawn Wallace | Torq Resources Inc
50:44 Warren Irwin | Rosseau Asset Management
1:28:26 Rick Trotman | Barksdale Resources
1:42:15 Jamie Keech | Resource Insider
2:09:20 Mark O'Dea & Peter Bell | NorthWest Copper
2:26:34 Rick Rule

[winston]

Why China Can’t Stop the Rally in Copper

By Myra P. Saefong

“The forecast for shrinking supply, a relatively tight physical market, shrinking copper inventories, and very reliable demand growth were all in place two or three years ago. All of a sudden, everyone seems to have become aware.”

It takes roughly 10 years to build a new copper mine and years just to expand an existing one, so even if copper were at a whopping $10 a pound, a “meaningful supply response would not be possible in the near term”.

World copper mine production was essentially unchanged for three years, according to the International Copper Study Group, or ICSG, though output is forecast to increase by 3.5% this year.

Also, after a “significant” 2020 deficit of 600,000 metric tons in world refined copper, the ICSG forecasts a “small” surplus of 80,000 metric tons for 2021.

Source: Barron's

https://www.barrons.com/articles/copper ... 19&tesla=y

[winston]

The Price of Copper is Falling: Buy the Dip

by Eric Fry

Annual global copper use will soar from 24 million tonnes to nearly 32 million tonnes over the coming decade, thanks mostly to surging demand from renewable energy technologies.

Fitch expects the copper supply deficit to widen over the next three years until reaching a shortfall of nearly half a million tonnes in 2024.

The average copper project requires 14 years to progress from initial discovery to initial production.

Source: Smart Money