“We think that “Decarbonization means increased metal intensity”. Quite often, replacing hydrocarbons means electrification=copper. Renewables, EVs and other “new uses” of copper combined with supply side issues are driving tight markets. A copper stock with growth is a rare thing. 3 Buy-rated focus stocks: Antofagasta is a large cap with c. 30% volume growth. Freeport is a ‘go-to’ blue-chip copper exposure.
“Interest rates—Will they, or won’t they? The market is currently pricing in less than 50-per-cent odds of a Bank of Canada rate cut on June 5th, and a 25 bp move at that meeting has been our call for a long while. The April CPI report on May 21st could be the deciding factor … The loonie—Sinking or swimming? A sturdy U.S. economy has helped support Canada, but much more stubborn inflation trends south of the border mean later and less easing by the Federal Reserve this year.