Megaphone icon ETF Database is now VettaFi. Read More >
ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Alternatives
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Disruptive Technology
    • Dividend
    • Dual Impact
    • Emerging Markets
    • Energy Infrastructure
    • ESG
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Fixed Income
    • Free Cash Flow
    • Future ETFs
    • Gold & Silver Investing
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Modern Alpha
    • Multi-Asset
    • Portfolio Strategies
    • Retirement Income
    • Thematic Investing
    • Volatility Resource
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Sector Tracker Tool
    • ETF Database Categories
    • Head-To-Head ETF Comparison Tool
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
    • Indexes
    • Mutual Fund To ETF Converter
    • ETF Data for Journalists
    • ETF Nerds
  • Research
    • First Bitcoin ETF
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Videos & Podcasts
    • ETF 360 Video Series
    • ETF Trends on Videos
    • ETF Trends on Podcasts
    • ETF Prime Podcast
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Thematic Investing Channel
  2. Watch This ETF as Copper Prices Begin to Fall
Thematic Investing Channel
Share

Watch This ETF as Copper Prices Begin to Fall

Ben HernandezJul 05, 2022
2022-07-05

At the start of 2022, copper offered investors an ideal inflation hedge, given the rising prices of the industrial metal. Now, copper prices are heading back down to earth, putting exchange traded funds (ETFs) like the Global X Copper Miners ETF (COPX B+) on watch.

The fund could give patient investors an ideal entry point, given the way copper prices have been falling lately. The S&P GSCI Copper index is down about 17% for the year, but within a three-year time frame, the index is still up close to 37%.

COPX seeks to provide investment results that correspond generally to the price and yield performance of the Solactive Global Copper Miners Total Return Index, which is designed to measure broad-based equity market performance of global companies involved in the copper mining industry.

SP GSCI Copper Level Change

Recession Fears Weighing on Copper

Recession fears have been weighing copper prices down, as have isolated headwinds like China’s COVID-19 resurgence. China is one of the largest producers of copper globally, and rising COVID cases forced factory activity to slow down.

Moving forward, however, recession fears continue to swirl in the capital markets.

“Market sentiment remains subdued as the same old worries about inflation and recession circulate,” Neil Wilson, an analyst at broker Markets.com, said. “Copper down hard, also nickel, as industrial metals are being offered as recession fears dominate.”

In terms of the copper industry specifically, some fund managers aren’t worried. Right now, it’s all about the potential storm brewing from a macroeconomic perspective.

“Right now fund managers are evidently in no mood to worry about copper’s micro dynamics. It’s the big picture that counts, and the big picture is one of darkening economic clouds on the horizon,” wrote Reuters columnist Andy Home.

Despite this, investors looking at copper from a long-term growth perspective can see that opportunities can exist. COPX will also give investors exposure to copper prices without having to invest in the actual commodity itself via a dynamic investment vehicle in the ETF.


Content continues below advertisement

Watch-This-ETF-As-Copper-Prices-Start-to-Fall-1

For more news, information, and strategy, visit the Thematic Investing Channel.

Loading Articles...
Help & Info
  • Contact Us
  • Mission Statement
  • Press
Tools
  • ETF Screener
  • ETF Analyzer
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Performance Visualizer
  • ETF Database Model Portfolios
  • ETF Database Realtime Ratings
  • ETF Database Pro
More Tools
  • ETF Launch Center
  • Financial Advisor & RIA Center
  • ETF Database RSS Feed
Explore ETFs
  • ETF News
  • ETF Picks of the Month
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Best ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Legal
  • Terms of Use and Privacy Policy
  • © ETF Flows LLC
Follow ETF Database
Follow ETF Database

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X