Stick with Lithium for now
An oft-repeated expression for mining investors is “Sell in May and go away”. It refers to the fact that mining equities often underperform wider markets over the northern hemisphere summer. The only times when this isn’t a reasonable paradigm are when there’s a major demand event underway, or when markets have already corrected in the first quarter. Obviously mining equities did correct in February and March after a strong January, but we’re still not sanguine about the outlook for materials stocks over the summer, particularly with the macro environment the way it is. We maintain our preference for Lithium for...