The election of Donald Trump as President of the United States is likely to significantly impact commodity prices. Commodities are things like oil, metals, and agricultural products (soybeans, corn, etc.) that make the economy run.
No matter who is in office, commodities tend to be cyclical. However, investors know that the occupants of 1600 Pennsylvania Avenue and the policies they enact can make certain commodities more attractive than others. For example, Trump used tariffs in his first term and is advocating to expand his use of them over the next four years. These types of policies can have geopolitical consequences, impacting international relations and trade dynamics, which can result in increased price volatility.
Commodities are also highly sensitive to factors like weather, natural disasters, and pandemics. Droughts can affect agricultural yields, and hurricanes can disrupt oil production, impacting supply and prices.
Nevertheless, with expectations of higher growth, there is talk of a commodities supercycle. In this special presentation, we're looking at seven commodity stocks that are likely to benefit from this supercycle.
Click the "Continue to Slide #1" button to view the first company.
