Copper prices may be set for a bull market lasting several decades.
Legendary figure Stanley Druckenmiller, known for his historically stable long-term returns in hedge funds, said:
"It's simple. It takes about 12 years to start producing copper from scratch, and copper can be used in electric vehicles, power grids, data centers, and, believe it or not, arms production." These missiles contain enough copper, and with the global situation becoming increasingly tense, we believe that the supply and demand situation in the next five to six years will be very severe.
In the next two to three decades, driven by the boom in artificial intelligence, energy transition, and increased defense spending, the demand for copper will grow significantly, while the supply of copper is rapidly decreasing due to aging mines, lengthy approval processes, and declining ore reserves.