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Otavio (Tavi) Costa, portfolio manager at Crescat Capital, highlights the potential for a significant breakout in the copper-to-Nasdaq ratio.
Costa expresses a preference for investing in essential materials that power artificial intelligence, rather than focusing on technology companies that he believes are overvalued.
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Costa has previously highlighted valuation gaps in other sectors. He noted that gold miners are trading at historic discounts to the S&P 500 despite strong fundamentals. In a separate post, Costa observed that money supply is expanding at the fastest rate seen in five years.