Donít Sell Your Mining Stocks in May

Source:

Tom Meyers, base metals and mining analyst of financial services company, Raymond James, says from his investment perspective both the long term cyclical and short-term seasonal effects of metal supply and demand support the investment case for mining equities at the moment.

Investors should not follow the seasonal trend of selling shares in May but should stay long or add to positions in mining stocks this month.

Tom Meyers, base metals and mining analyst of financial services company, Raymond James, says from his investment perspective both the long term cyclical and short-term seasonal effects of metal supply and demand support the investment case for mining equities at the moment.

Although metal equity share prices have increased by almost 15% from lows in March 2007, investors should not forget about the positive long-term outlook for commodities and company drivers such as production growth, delivery of feasibility studies, exploration results and merger and acquisition activity.

"We believe we are in year five of a ten to 15 year up-trend and better returns are lying ahead."

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