Is the correction in metal stocks a buying opportunity?

Commodity cycles tend to last a long time and if demand does remain good, it would be an opportunity to buy at more moderate valuations

Topics
Metal stocks

Devangshu Datta 

Investors are reviewing the supply and demand equation across a range of industrial commodities. Prices reacted across the entire metals space last week as a result. Iron ore prices have dropped to the lowest of the calendar year, along with a fall in various steel contracts.

There were also reactions in other industrial metals such as copper and zinc. Share prices across primary commodity suppliers, such as mining companies and metal producers were hit as well. The reaction is due to investors anticipating Chinese demand to slow down. Moreover, if the US Federal Reserve does start to ...

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First Published: Mon, August 23 2021. 11:39 IST
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