Barron’s: How to Play the Commodities RallyRoland Morris, Portfolio Manager and StrategistCharl Malan, Senior AnalystJoe Foster, Portfolio Manager, Gold StrategyFebruary 02, 2021
Commodities appear set for an extended run, after 10 years of underperformance, according to Barron’s. In a recent article, Portfolio Manager and Commodities Strategist Roland Morris, Senior Analyst Charl Malan and Portfolio Manager Joe Foster offered their insights on the recovery in commodities prices and the supportive trends that may lead to a structural bull market for commodities.
The current environment entails fiscal and monetary stimulus, potential dollar weakening, supply constraints and demand drivers. Companies today are generally better managed than a decade ago, with stronger balance sheets and capital discipline as well as more focus on shareholder returns. A move towards a “green economy” may also help boost renewable energy markets and demand for copper.
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