A quiet thread this one, so I thought I'd add some spice.
After a perennial search for a good leveraged inflation hedge, I'm long aluminium.
And it's been a long journey getting here - since living on a small yacht working as a contractor at the Gove smelter many years ago - to loosing my life savings after abandoning the city and sinking money into a copper mine while restoring an old villa in Bluff (next to the Tiwai Smelter).
Anyway, am tiring of chasing precious metal futures - despite the fact they are likely now breaking out. Sure I'll scalp a bit here and there, but for a position trade they suck. I mean you can buy land at 10:1 leverage and enjoy and nice smooth up trend - so why buy a leveraged entity that trends like a whore's draws?
Having a futures contract based on a basket of metals or wider commodity selection would make sense, but I'm yet to find one without excessive ETF fees or sufficient leverage. (Of course if I had the pockets I'd create my own!)
But yes, aluminium - I like the stuff. I might build a boat out of it one day. It needs energy so there's that whole energy + CO2 story there. There's the green new deal story with demand for light cars and solar panels. And then there's the currency debasement. It has it all, and has been trending beautifully - at least until the other week when we get this wonderful gift from XI.
