Those bullish bets follow a supply setback that’s just a few months old, with key mines running into trouble at the end of last year. The upshot is that what had looked like a clear case of excess supply has now morphed into a likely deficit, according to Todd Warren, a portfolio manager at Tribeca.
“We see a very strong trade in the foreseeable future, primarily because of the supply challenge,” Warren said in an interview.
Matthew Langsford, who runs a A$180 million ($120 million) natural resources fund at Sydney-based Terra Capital, said he now sees “at least 50% upside” in prices by the end of 2024.
Both Terra and Tribeca are in the process of adding to their holdings of copper stocks, Warren and Langsford said.
Any lingering expectations of surplus supply have now “evaporated,” and been replaced with the prospect of a “significant deficit,” Langsford said. The development underscores “the fragility of…
