COPX: Supply Shortages May Push Copper Much Higher

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About: Global X Copper Miners ETF (COPX), Includes: ANFGF, FCX
by: Harrison Schwartz
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Harrison Schwartz
Event-driven, research analyst, newsletter provider, ETF investing
Summary

Copper has had a difficult few years due to slowing demand growth from China.

Supply has been growing at a slower pace than demand, and global stocks appear to be low.

Supply disruptions in Latin America (specifically Chile) may grow due to expanding protests in the region.

Many miners are cheap on a P/B basis and could gain tremendously once the market realizes inflation is rising.

(Source: Freeport-McMoran)

Copper was a hit from 2004 to 2012. China's effort to rapidly expand infrastructure and production drove up prices and caused huge profits for those in the copper business. The economies of