...BHP positioning itself to be the world's largest copper producer post Anglo American acquisition may have merits in the long term.
...but if BHP gets its timing wrong because the world economy is about to tip over into a recession, then BHP could suffer a bigger hit to its stock price on the downturn as it is doubling down into two resources (copper and iron ore) which are susceptible to global recession.
The term Doctor Copper is market lingo for this base metal that is reputed to have a "Ph.D. in economics" because of its ability to predict turning points in the global economy. Because of copper's widespread applications in most sectors of the economy—from homes and factories to electronics and power generation and transmission—demand for copper is often viewed as a reliable leading indicator of economic health. This demand is reflected in the market price of copper.
..and this headline says it: Copper Crash Deepens as Recession Fears Loom Over Metals Trading
