The bulk metals of iron ore and coal have had plenty of support this year and gold has rallied as investors seek safe-haven assets. Now base metals are getting overdue attention.
My preference is nickel and I outlined a bullish view on Western Areas (WSA), a specialist nickel producer, in July for The Switzer Report. The stock is up slightly since that report and some good judges believe it and other base metals stock will go higher this year.
To recap, the nickel price had been in the doldrums for much of this decade. Nickel peaked above US$28,000 a tonne in early 2011 during the commodities boom. By early 2016 nickel traded below US$8,000 as demand eased and supply of lower-quality nickel grew.