Click here: The Weekly Beacon – November 25 2022
We will be giving some macro economic market updates on a weekly basis. No equity recommendations will be given in this commentary, and we encourage you to contact us if you have questions regarding any observations.
Feel free to send in your pictures of lighthouses to be featured in our weekly commentary.
This weeks issue: Copper Demand, EV Battery Metals, Renewable Energy, Copper Mining, Copper Prices, Crypto Meltdown, FTX Mess, SBF is a Fraud, Metaverse, Cryptocurrencies Market Cap, Jim Cramer, Coinbase, Buying the Media, Jeff Bezos, The Washington Post, World Cup, Qatar, Infrastructure Costs, Personal Savings Rate, Credit Card Outstanding Balances, Decreasing Financial Freedom, Recession, Oil Sector, Natural Gas, Oil Stocks, OPEC, Russian Energy, Saudi Arabia, Windfall Taxes, Money Supply Growth, Excessive Money Printing.
“Pipe” Dream
We have mentioned throughout The Weekly Beacon’s history that transitioning to renewable energy will be extremely difficult due to reliability. The other major issue will come from the supply side. We think supply issues will present the best opportunity in the battery space moving forward. We think picking an EV company or a battery company will be hard but buying the metals that all those companies use in their battery production will be much easier. Each metal that is used in battery production will have major supply shortfalls. From “new” metals to industrial-grade copper, every metal will have a large supply-demand gap.
So, if there will be such an issue sourcing these metals why play the risk? The government. Governments, specifically western governments are desperate to go green and are sacrificing everything. We expect them to throw hundreds of billions into green energy (even though it will fail), and they will buy billions of dollars of metals from China (China is the worlds largest metal refiner), and China will only gain more power. Think about this winter as a prologue of energy shortages for the next 10-15 years.
If you do not believe us. Here is a very telling stat on copper production. Humans have mined 700 million tons of copper over the last 5,000 years. The same 700 million tons……..
