March 1, 2023, 9:57 am EST
Aluminum, Copper, Nickel, Steel, Zinc, Phosphates
There are all kinds of materials like aluminum, copper, nickel, steel, zinc, and phosphates used for industrial, construction, machinery, fertilizers, etc. These commodities are sometimes like a school of fish that swim together in one direction. In the stock market, you could catch them altogether if the timing is correct.
Today is an example to spot this:
- Aluminum: AA +7%
- Copper: SCCO +3%, RIO +4%, TECK +3%
- Nickel: FCX +5%, BHP +3%
- Steel: RS, STLD, X +1%
- Phosphates: MOS +1%
Of course, it is important to pay attention when they change direction but they will move together in the other direction.
2023 is the year of material due to inflation and warfare not because of economic development. There are many unknown factors involved when both economic inflation and global confrontation rise up together. Most people do not know what happened during 1940 World War II and 1970 inflation. Sometimes, risks are scary. But it could mean opportunities.