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Otavio (Tavi) Costa, portfolio manager at Crescat Capital, points out the market’s backward-looking approach to mining stocks.
During a CNBC interview, an expert indicated a lack of interest in mining companies that do not generate cash flow, highlighting evolving fundamentals at today’s metal prices.
Costa has previously identified stagflation in the latest ISM report, with prices hitting three-year highs and employment at two-year lows, as reported in recent commentary. He also noted that silver prices surged due to persistent supply constraints, according to an earlier report. These observations come as the metals sector continues to face changing fundamentals.