Why Commodities Move in Packs — And What History Says Happens Next (Part II)

It started with gold in 2024.

Then, in 2025, rare earths, silver, platinum, and copper followed.

In early 2026, industrial metals like aluminium, zinc, and tin took their turn.

And now it’s oil, gas, and coal.

The batten is being passed from one commodity to the next, and no one can really explain why.

The daily news cycle proposes a surprise demand spike… A supply shortage… Or a geopolitical scare.

But it never goes to the heart of the cause.

The news cycle also doesn’t explain why different commodities rise (together) despite holding vastly different demand drivers.

Example #1

As I pointed out earlier in the week, demand for precious metals is tied to global uncertainty.

Industrial metals on the other hand are pegged to global growth.

Two groups of metals with opposing growth drivers, yet both are moving side-by-side:

Source: Trading View

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Few acknowledge it, and even fewer can explain WHY it happens.

Understanding this market

As you may know, I’m a geologist who’s spent most of my career in the mining industry, from early-stage grassroots exploration to production.

I’ve worked across a bunch of commodities, from gold, copper, zinc, and iron ore. And despite the diversity of experience, job opportunities have tended to be all-or-nothing.

Either there’s an abundance of work on offer, or there’s hardly anything available. And when putting food on the table is dictated by commodity prices, you tend to pay close attention.

That experience has sent me down the rabbit hole of trying to understand the highly cyclical landscape of commodity markets.

A key part of what I do for my paid readership group is to look at history, specifically the events that drove past commodity upswings.

Whether that’s the gold rush of the 1890s, the outbreak of World War I, or the US Civil War. Rising commodity prices are interwoven with the most significant events in history.

That makes sense, after all, commodities are the foundation for building and maintaining economies.

No matter what innovation brings, we still need raw materials to build the infrastructure to develop new technologies.

That’s why I spend a lot of time trolling through old books, studying booms and busts, and paying special attention to commodity markets.

And throughout all that research, one common theme keeps reappearing:

The Answer

I’ve learned that the foundation for the upward move across the whole commodity spectrum is a lack of new supply.

And that’s driven by prolonged underinvestment in exploration and mining development.

You see, without future supply, the resource market falls out of balance and becomes exposed to EVENTS that drive prices higher.

And it’s these ‘events’ that get attached to rising prices… The headline stories that accompany price jumps.

But these events are not so much the CAUSE, just the catalyst that sparks prices higher.

So, the next time you read a bullish narrative about a certain commodity rising, whether it’s gold, copper or whatever…

Step back and think: why now?

The truth is, the foundation for higher prices was laid years ago: a lack of investment in new mines or new oil wells leading to an over reliance on existing and ageing supplies.

And that’s the real secret why commodities tend to move cyclically and in parallel with each other.

What happens next?

While the events colliding with rising prices may vary from cycle to cycle, like the Vietnam War of the 1970s or the China infrastructure boom of the early 2000s…

The underlying CAUSE never changes.

Underinvestment in new supply.

Once you understand that core principle, then you’re ready to take advantage.

It’s time to put your knowledge into action with real investments and protect your portfolio from an era of commodity inflation.

This is the place to start.

Until next time.