At some point there will be a short squeeze. I dont think we are far off. Shorts are adding but the SP remains around these levels. The point of diminishing short returns has arrived and there will be a dash for the exit soon
RE: Goldman Sachs "Copper is the new oil"13 Jan 2022 17:22
Boils down to sentiment. I expect we will see further Kaz shock waves in the form of tax rate. Im sure we are at 20% just now. Compounded by the possibility of further unrest + taking years to find the next project and asset prices are now sky high. Flip side we are making good money.
The big catalyst will be growth and we know they are looking for projects. I think the Kaz situation will focus their mind a little. Re tax, the president also wants to incentivise mine growth so I dont see a massive tax hike. I dont see another Chile here
We only pay 20% tax. production cost peanuts, not like traditional mining so dont expect a material impact. generally tax goes up so do prices and around we go
hope it stays that way, still think the uprising wlll be short lived. That being said companies may look twice in future before investing here. Flip side it could drive reform and become a better place to invest. Who knows.
May be contained. Same everywhere these days. Protests get hijacked by extremists with other agendas then boom. The gov has capped gas/fuel again and removed some members of gov One thing is for sure, this has created a buying opportunity and Im taking advantage...:-)
What you have here is People who sold at a loss and are bitter Then there are those who do not know when to cut their position Then there are those taking advantage of the low SP. ..:-)