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3 Mining Stocks Up on China Tailwinds

Investors are expecting strong demand from China

Digital Content Manager
Sep 24, 2024 at 2:52 PM
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The People’s Bank of China cut the reserve requirement ratio by 50 basis points and the seven-day reverse purchase rate to 1.5%, resulting in 4.2% and 4.1% gains for China’s Shanghai Composite and Hong Kong's Hang Seng, respectively.

The stimulus measures are boosting copper prices as traders anticipate stronger demand from one of the world's largest metal consumers. In response, mining giants Rio Tinto plc ADR (NYSE:RIO), Southern Copper Corp (NYSE:SCCO), and Freeport-McMoRan Inc (NYSE:FCX) are enjoying tailwinds.

RIO is up 4.4% to trade at $67.44 at last check, on track for its best single-day percentage gain in just over one year. The shares are trading at their highest level since July, and also pacing for their first close above the 80-day moving average in just as long. For 2024, RIO still carries a 13.6% deficit.

Last seen up 7.4% to trade at $113.91, SCCO is adding to a 34.2% year-to-date lead and eyeing its best day since November 2022. The security could today score its fourth win in the last four sessions on its way to conquer the 120-day moving average, which capped two August rallies.

FCX is up 7.8% to trade at $48.67 at last glance, extending its bounce off a familiar floor at the $34 level. Shares have also conquered overhead pressure at the $44 region to hit their highest level in roughly two months. In the last 12 months, the stock added more than 30%.

 

 

AI has exploded ever since ChatGPT set the world on fire near the end of 2022.

Numerous companies with connections to artificial intelligence have seen their stocks soar.

That includes Nvidia, the poster boy of AI.

Its stock has skyrocketed 716% since ChatGPT’s debut. But here’s the thing …

While everyone’s still counting their money from this first AI boom … Nvidia and countless others have moved on to the next stage.

That includes Big Tech, which is currently making a series of peculiar investments in a few strange companies. This has nothing to do with tech. At least on the surface …

Yet, these strange investments could be the early ripples of a massive wave …Without them, ChatGPT could stop operating … Amazon, Google, Microsoft and more could see profits drop drastically.

In fact, Elon Musk says these investments are critical when it comes to solving the number one problem facing AI.

Now, Silicon Valley legend Michael Robinson has identified two companies that could play a significant role in the solution.

Their stocks just may be the key to AI 2.0.

Find out more about these two companies today.
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