Nick Hodge – Commodities Supercycle Simply In Countertrend Move Due To Economic Contraction
Nick Hodge, of Digest Publishing and editor of Foundational Profits and Hodge Family Office, joins us for a wide ranging discussion on the current macroeconomic environment, central banks, bonds, currencies, commodities, and precious metals. We start off reviewing the nature of the current bear market in general US equities, and global equity markets, and if we’ll still see a larger capitulation event. Nick makes the point that with so much market noise it is important to remember that the Economic Cycle is larger than the Fed and any short-term developments, and we are currently in an economic contraction.
We shift over to the commodities next, where the recent pullback in many raw materials is simply a counter-trend corrective move within the larger commodities supercycle that kicked off in 2020. We review the compelling themes of electrification and decarbonization and how those have allowed commodities like lithium, uranium, and copper to have hit new highs this year with plenty more upside in the years to come.
Next we pivot over to get Nick’s thoughts on the precious metals, and he offers his approach to investing in gold, silver, and the PM mining stocks. He outlines how he evaluates the senior and junior mining stocks, and what kinds of things he likes to see as well as red flag warnings within the management teams, share structures, and jurisdiction risk. We wrap up by reviewing how Nick and his business partner help investors through their services over at Digest Publishing.