Evy Hambro 1.3 4 ideas

Hambro stated gold is a "major beneficiary" of worsening government deficits and increased spending on defense/energy resilience. He said mining stocks are "definitely" still mispriced, and copper, aluminum, and rare earths will see huge demand. The ceasefire does not solve underlying structural problems: government finances are worsening, and spending on tangible assets (defense, infrastructure) is rising. This is inflationary for real assets and supports commodity demand, benefiting miners. LONG gold and mining stocks because they act as a hedge against fiscal degradation and are direct beneficiaries of increased commodity demand from rearmament and energy transition spending. A severe global recession that crushes commodity demand despite government spending.

Hambro notes that while the market focuses on chips, AI infrastructure requires massive amounts of "physical, tangible stuff." He explicitly highlights Copper and Silver as inputs for data centers and electronics. There has been underinvestment in resource supply since 2015. Now, a massive new demand shock (AI) is hitting a supply-constrained market. This creates a classic commodity super-cycle setup. Long physical commodities and the miners extracting them. A global recession reducing industrial demand could offset AI-driven demand.