Even though China's current weak growth is weighing on commodities, some such as copper are essential.
From the perspective of commodity demand, the second half of 2023 also seems to suffer from China's weak economic momentum. A further slowdown was recorded in July, with the real estate situation primarily to blame. In contrast, there are signs of a recovery in consumption, albeit a gentle one. The support provided by the Chinese government is aimed particularly at consumption. Basic commodities and raw materials for the energy transition should continue to be well supported. In addition to lithium, zinc and rare earths, this also includes copper.
The largest copper reserves on earth are found in Chile, Australia, Peru, Russia and Mexico. Chile surpasses the other countries by far in terms of the quantity of reserves. Some of the mined copper is still available, as the recycling rate for the reddish metal is higher than for other metals. For years, there has been discussion about a possible copper peak, i.e. whether copper could become scarce. Predictions about this vary widely.
However, there are increasing indications that a shortage could be imminent, and with it higher prices. The red metal has many industrial uses and there are no viable alternatives. Once the Chinese economy recovers and the potential of the emerging markets unfolds, copper will become an extremely sought-after commodity. It's a good thing that there are mining companies that have copper in their projects (in addition to gold), such as Torq Resources or GoldMining.
GoldMining - https://www.commodity-tv.com/ondemand/companies/profil/goldmining-inc/ - has a large block of shares in Gold Royalty and U.S. GoldMining in its portfolio, in addition to promising gold and gold-copper projects in North and South America.
Torq Resources - https://www.commodity-tv.com/ondemand/companies/profil/torq-resources-inc/ - is a copper and gold exploration company and has excellent holdings in Chile, such as the Santa Cecilia gold-copper project, which recently again pleased with very good drill results.
Current corporate information and press releases from Torq Resources (- https://www.resource-capital.ch/en/companies/torq-resources-inc/ -) and GoldMining (- https://www.resource-capital.ch/en/companies/goldmining-inc/ -).
In accordance with §34 of the German Securities Trading Act (WpHG), I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and that there is therefore a possible conflict of interest. No guarantee for the translation into German. Only the English version of this news is valid.
Disclaimer: The information provided does not constitute any form of recommendation or advice. Express reference is made to the risks involved in securities trading. No liability can be accepted for any damages arising from the use of this blog. I would like to point out that shares and especially warrant investments are fundamentally associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make a mistake, especially with regard to figures and prices. The information contained is taken from sources that are considered reliable, but in no way claim to be correct or complete. Due to judicial decisions the contents of linked external pages are to be answered for (so among other things regional court Hamburg, in the judgement of 12.05.1998 - 312 O 85/98), as long as no explicit dissociation from these takes place. Despite careful control of the contents, I do not assume any liability for the contents of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG applies additionally: https://www.resource-capital.ch/de/disclaimer-agb/.
From the perspective of commodity demand, the second half of 2023 also seems to suffer from China's weak economic momentum. A further slowdown was recorded in July, with the real estate situation primarily to blame. In contrast, there are signs of a recovery in consumption, albeit a gentle one. The support provided by the Chinese government is aimed particularly at consumption. Basic commodities and raw materials for the energy transition should continue to be well supported. In addition to lithium, zinc and rare earths, this also includes copper.
The largest copper reserves on earth are found in Chile, Australia, Peru, Russia and Mexico. Chile surpasses the other countries by far in terms of the quantity of reserves. Some of the mined copper is still available, as the recycling rate for the reddish metal is higher than for other metals. For years, there has been discussion about a possible copper peak, i.e. whether copper could become scarce. Predictions about this vary widely.
However, there are increasing indications that a shortage could be imminent, and with it higher prices. The red metal has many industrial uses and there are no viable alternatives. Once the Chinese economy recovers and the potential of the emerging markets unfolds, copper will become an extremely sought-after commodity. It's a good thing that there are mining companies that have copper in their projects (in addition to gold), such as Torq Resources or GoldMining.
GoldMining - https://www.commodity-tv.com/ondemand/companies/profil/goldmining-inc/ - has a large block of shares in Gold Royalty and U.S. GoldMining in its portfolio, in addition to promising gold and gold-copper projects in North and South America.
Torq Resources - https://www.commodity-tv.com/ondemand/companies/profil/torq-resources-inc/ - is a copper and gold exploration company and has excellent holdings in Chile, such as the Santa Cecilia gold-copper project, which recently again pleased with very good drill results.
Current corporate information and press releases from Torq Resources (- https://www.resource-capital.ch/en/companies/torq-resources-inc/ -) and GoldMining (- https://www.resource-capital.ch/en/companies/goldmining-inc/ -).
In accordance with §34 of the German Securities Trading Act (WpHG), I would like to point out that partners, authors and employees may hold shares in the respective companies addressed and that there is therefore a possible conflict of interest. No guarantee for the translation into German. Only the English version of this news is valid.
Disclaimer: The information provided does not constitute any form of recommendation or advice. Express reference is made to the risks involved in securities trading. No liability can be accepted for any damages arising from the use of this blog. I would like to point out that shares and especially warrant investments are fundamentally associated with risk. The total loss of the invested capital cannot be excluded. All information and sources are carefully researched. However, no guarantee is given for the correctness of all contents. Despite the greatest care, I expressly reserve the right to make a mistake, especially with regard to figures and prices. The information contained is taken from sources that are considered reliable, but in no way claim to be correct or complete. Due to judicial decisions the contents of linked external pages are to be answered for (so among other things regional court Hamburg, in the judgement of 12.05.1998 - 312 O 85/98), as long as no explicit dissociation from these takes place. Despite careful control of the contents, I do not assume any liability for the contents of linked external pages. The respective operators are exclusively responsible for their content. The disclaimer of Swiss Resource Capital AG applies additionally: https://www.resource-capital.ch/de/disclaimer-agb/.
