"The iShares MSCI Global Metals & Mining Producers ETF (NYSEARCA:PICK) has surged 66% over the past year, climbing from roughly $35 to $58 per share. That rally reflects renewed optimism around industrial metals, particularly copper and iron ore, as infrastructure spending and energy transition projects drive demand. With over $1.2 billion in assets and a 0.39% expense ratio, PICK offers broad exposure to mining giants like BHP Group (NYSE:BHP), Rio Tinto (NYSE:RIO), and Freeport-McMoran (NYSE:FCX), which together account for nearly a quarter of the portfolio."
"The single biggest factor affecting PICK is China's economic health. China consumes roughly half of the world's copper, iron ore, and steel, making its industrial activity the primary demand driver for metals PICK's holdings produce. When China's property sector weakens or manufacturing slows, commodity prices soften, dragging mining stocks lower. Conversely, stimulus measures or infrastructure pushes can ignite rallies. Investors should monitor China's monthly Purchasing Managers' Index data, released by the National Bureau of Statistics around the first of each month."
The iShares MSCI Global Metals & Mining Producers ETF has risen about 66% over the past year, moving from roughly $35 to $58 per share. The rally is driven by renewed demand expectations for industrial metals, notably copper and iron ore, supported by infrastructure spending and energy transition projects. PICK holds over $1.2 billion in assets and charges a 0.39% expense ratio, with major positions in BHP, Rio Tinto, and Freeport-McMoran representing nearly a quarter of the portfolio. China’s industrial activity and policy moves are the primary demand drivers, and the fund is heavily tilted toward copper exposure, increasing sensitivity to price shifts.
Read at 24/7 Wall St.
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