BHP Group’s [ASX:BHP] bid for Oz Minerals [ASX:OZL] has lit a fire under copper stocks on the ASX.
After a sharp fall in the copper price over the last few months, many copper stocks have been under pressure.
But the long-term strong demand outlook for copper remains. It is one of the key future-facing metals that will see an immense lift in demand over the coming decades.
BHP knows this, and they are stepping up to buy assets during market weakness. The copper price has also bounced from oversold levels over the past month, which is adding to the buying pressure in copper stocks.
If BHP thinks the time is right to start buying copper stocks, perhaps we should follow their lead. Who will be the next copper stock to see a bid if they can’t get their hands on Oz Minerals?
In today’s ‘Closing Bell’ video, I give you a detailed analysis of the copper price over the past two decades and show you how far copper prices could fall during this correction.
I also show you a copper stock that is giving you an opportunity to buy near the low of their past 10 years’ trading range, and their production is about to ramp up over the next few years as they bring new mines into production.
If you are a person who is looking to build your nest egg or approaching retirement, looking for solid companies to invest in for the long-term, then it is worth checking out.
Until next week,
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Murray Dawes,
Editor, Money Weekend
