Reduced aluminum production in Brazil has tightened a global aluminum market that already faced a supply deficit. Our top play on this trend has already returned more than 100 percent since we added the stock to the Wealth Builders Portfolio in March 2014. We see more upside to come.
Excess capacity and weak demand growth have weighed on commodity prices and soured investor sentiment toward the mining industry. But efforts to slash capital expenditures and operating expenses should help our favorite names to dig their way out of this hole over the next two years.
Welcome to the bear market for the once-booming global mining complex. With prices of copper, gold and other mined commodities sliding, the prices of the world’s largest mining companies have approached valuations not seen since the nadir of the 2008-09 bear market. But there's gold in this downtrodden sector--especially for hardy income-seeking investors with the patience to wait for a turnaround.
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