Market Overview

Base Metals:

• Copper: With the global push towards electrification, especially in electric vehicles (EVs) and renewable energy systems, copper demand is expected to soar. Despite current supply constraints, long-term outlooks are bullish due to insufficient new mine developments to keep pace with demand.
• Aluminum: The lightweight yet strong properties of aluminum make it indispensable in aerospace, automotive, and packaging industries. Recent geopolitical tensions have disrupted supply chains, but this also opens arbitrage opportunities in regional markets.

Precious Metals:

• Gold: Traditionally seen as a safe haven, gold is currently experiencing a surge due to inflation fears, currency devaluation, and central bank buying. The ongoing trend of de-dollarization in some economies further strengthens gold's investment appeal.
• Silver: Not only does silver share some safe-haven characteristics with gold, but its industrial use in solar panels, electronics, and medical devices adds another layer of demand, potentially leading to a supply squeeze if industrial growth continues unabated.

Industrial Metals:

• Nickel, Cobalt, Lithium: These metals are crucial for battery technology. The rapid scaling of battery storage solutions for both EVs and grid storage systems has led to volatile but upward trending prices. The geographical concentration of these resources also poses risks and opportunities in terms of supply control.