A Structural Copper Bull Case

What It Means for Other Assets

There’s something very powerful about stepping back and looking at a 30-year monthly chart of an asset.

It forces you to zoom out and focus on the underlying structure rather than short-term fluctuations.

From that perspective, copper appears to be setting up for a potentially significant move.

We have what appears to be a structural demand story running into very real supply constraints.

Inventories above ground are tight. There are very few meaningful new mines coming online. Major discoveries have been limited for years.

And several large, existing operations are dealing with declining grades and operational challenges.

In other words, the industry is not prepared for a step-up in demand.

Given that backdrop, I think the odds of a sharp move higher in copper prices over the next 1–2 years are meaningful.

If that happens, it’s worth thinking about the second-order effects as other assets may benefit meaningfully from such a move.