Weekend Show - Sean Brodrick & Josef Schachter - How To Play The Uptrend In Commodity Stocks: Gold, Silver, Copper, Uranium, Oil & Nat Gas
Mar 29, 2025
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Sean Brodrick, an insightful editor specializing in commodities, shares his bullish outlook on gold producers like Agnico Eagle and Equinox, while highlighting silver and copper's potential. Meanwhile, Josef Schachter, the energy expert behind the Schachter Energy Report, predicts rising natural gas prices fueled by cold weather and discusses a potential $10 spike in oil due to geopolitical tensions. Both guests reveal strategic opportunities in energy stocks and the importance of shareholder returns, making it a must-listen for investors.
Gold and silver equities are currently presenting substantial investment opportunities due to soaring commodity prices and strong earnings growth among leading producers.
The copper market's recent highs, coupled with strategic tariff removals, signal potential buy opportunities in related companies despite current economic uncertainties.
Energy sector resilience is seen in traditional oil and natural gas stocks, driven by stable demand, shareholder returns, and potential geopolitical price spikes.
Deep dives
Opportunities in Commodity Equities
Investment in commodity equities is particularly promising, especially in sectors like gold, silver, copper, oil, and uranium. As gold prices have recently surpassed $3,000, investments in gold stocks have accordingly surged, showcasing significant gains across major ETFs like GDX and GDXJ. Key players in the gold sector, such as Agnico Eagle and SSR Mining, reflect the overall bullish sentiment, with SSR Mining expected to see a 411% increase in earnings this year. This trend indicates a ripe environment for investors, with many equities hitting record highs, setting up a strong case for expanding positions in these assets.
Focus on Production Stocks
Production growth remains a crucial focus among investors watching commodity equities, particularly within gold and silver mining companies. Companies such as Equinox and Discovery Silver are highlighted for their growth potential, especially as Discovery Silver expands its operations by acquiring significant mining assets. Despite some challenges in production expectations, these firms are seen as solid investments capable of capitalizing on rising commodity prices. The trend towards consolidation in the sector allows junior companies to emerge as significant producers, creating new opportunities for investors.
Copper's Recent Highs and Market Reactions
Copper has recently reached all-time highs, which typically provokes interest in related equities that have not fully capitalized on this surge. Even though major copper stocks like Hudbay Minerals and Tech Resources have shown muted performance, many analysts believe the upcoming tariff announcements could present strategic buy opportunities. While current economic uncertainty might suppress immediate investments, the prospect of increased domestic production in the U.S. following tariff removals may reinvigorate the market. As such, market participants should remain vigilant for potential high-reward scenarios in the copper sector.
Energy Sector Dynamics
The energy sector continues to exhibit contrasting trends, with companies in traditional oil and natural gas demonstrating resilience despite fluctuating commodity prices. Stocks of major players like Chevron and Devon Energy are benefiting from strong performance metrics and shareholder returns, suggesting a dual focus on cash flow management and growth. While the overall demand for oil remains stable, geopolitical tensions, particularly concerning Iran, could lead to price spikes, framing the current environment as one of volatility coupled with opportunity. Investors are finding yields in energy sector stocks attractive, making even lower-profile equities worth additional scrutiny.
Trends in Investment and M&A Activity
Mergers and acquisitions within the energy and mining sectors are indicative of broader trends, with notable transactions like Paramount's sale to Oventiv signaling a possible shift towards consolidation in the industry. This activity highlights the importance of resource portfolios, especially for companies focusing on asset optimization amid changing market conditions. With a rising interest in shareholder returns and stable dividends, firms are prioritizing cash management over aggressive expansion strategies. Ultimately, investors should remain attentive to potential acquisition targets that can emerge as market dynamics evolve.
With commodities continuing to run higher, on this weekend’s show we focus on where the best opportunities are for investors.
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Segment 1 & 2 - Sean Brodrick, editor of Wealth Megatrends and Resource Trader kicks off the show highlighting the strength in gold producers, with names like Agnico Eagle, Equinox, and Calibre delivering outsized returns and earnings leverage. He also sees opportunity in silver and copper equities catching up to commodity price moves, while remaining cautious on uranium due to geopolitical uncertainty. Sean notes growing interest in traditional energy stocks like Chevron, EQT, and Schlumberger, pointing to potential upside on any pullbacks.
Segment 3 & 4 - Josef Schachter, Founder and Editor of the Schachter Energy Report outlines his outlook for stable-to-rising natural gas prices driven by cold weather, storage deficits, and record LNG exports, while forecasting a potential $10 oil price spike due to geopolitical tensions. He highlights investor preference for shareholder returns over production growth, names top dividend-paying Canadian energy stocks, and discusses emerging M&A deals and transformative transactions like Inplay Oil's acquisition of Obsidian assets.
