COPX

What are the effects on stocks of China’s economic slowdown? Doing some selling of copper ETFs today

What are the effects on stocks of China’s economic slowdown? Doing some selling of copper ETFs today

On Monday the Chinese government reported that the country’s economy slowed more than expected in July. Retail sales were crimped by tough new virus restrictions introduced toward the end of the month to contain fresh outbreaks. Retail sales rose by 8.5% near over year. Analysts had expected growth of 10.9%. Industrial production to a 6.4% year over year increase instead of the 7.9% in economist forecasts. Investment in fixed assets rose 10.3% year to year in the first seven months of 2021 against expectations for an 11.3% increase. No big secret about the effects. China’s economy is the driver for global demand for commodities such as copper. And for demand for some key manufactured goods such as chips.

What are the effects on stocks of China’s economic slowdown? Doing some selling of copper ETFs today

COPX Pick #8 for my new Millennial Portfolio (for investors who have more time than money)

In today’s YouTube Video “Avoiding Di-Worsification in 2021 in argued that the trend toward high yields on long-dated Treasuries–and thus lower prices for those bonds–should prompt investors to look beyond bonds and gold in their efforts to build diversified portfolios. I’m adding a copper miners ETF to my Millennial Portfolio tomorrow as a replacement for gold and to profit from the increased copper demand resulting from larger numbers of electric cars on the road over the next decade