bbotc, metal and mining stock prices....Street.com is Cramer's biz, and isn't he the one who was saying to buy NXG and EZM near the beginning of the recent sharp sharp-selloff?
You're right, we don't know for sure what China is doing behind their communist doors but since they are big users of copper and zinc, why would they want to artificially the price of a metal that they need so much of?? I believe that China is now the largest user of those metals in the world. Their self-interest lies in trying to keep prices down, not watching them run up.
I also see inventories of copper and zinc continue to drop on the exchanges. At current rates of usage the inventory of zinc will drop to zero by year's end. The price run-up likely got ahead of itself but no, I don't believe it is over.
As for the mining stocks, their recent drops have been much larger than the drop in metal prices. Copper prices are down only 5% from their highs, while EZM and NXG are both down 20%. Zinc prices are down about 10% from their highs while BWR is down 30%. Those stocks now look oversold to me and that is why I bought your 2000 shares of BWR and many more as well. I also expect BWLRF to earn as much or more as EZM does next quarter and yet it is selling for less than half the price. I do like EZM but at current prices, I now like BWLRF better.
AI
