First digital BMO Metals & Mining conference in March
BMO Capital Markets' Global Metals & Mining Conference from March 1-5, 2021 will be fully digital for the first time.
The 30th annual conference - normally held in Florida - will unite more than 1,600 professionals online, representing approximately 300 organizations from across the metals and mining industry and institutional investors.
Dan Barclay, CEO and Group Head, BMO Capital Markets said: "We're looking forward to bringing together the biggest players from around the world for insightful presentations and timely conversations, including the critical importance of ESG and sustainability as we collectively work toward a lower carbon economy."
Notable session topics include: China's place in the mining ecosystem; the energy metals transition and adoption of electric vehicles; the strength of the precious metals environment; and ESG and its implications for both metals & mining companies and investors.
"We are honoured to host senior executives and investors in the industry once again at our flagship event, reinforcing the thought leadership and deep sector knowledge associated with BMO Capital Markets," said Ilan Bahar, Co-Head of Global Metals and Mining, BMO Capital Markets.
"The BMO Global Metals & Mining Conference is a testament to our unwavering commitment to the sector and this is no less true in times of the pandemic. Our firm has been a dominant force in metals and mining for more than a century, serving clients in achieving their strategic objectives," said Jamie Rogers, Co-Head of Global Metals and Mining, BMO Capital Markets.
BMO Capital Markets is a member of BMO Financial Group, one of the largest diversified financial services providers in the US with $949 billion total assets as at October 31, 2020.
Copper, iron ore surge as Chinese investors unleash demand
The reopening of major industrial economies is sparking a surge across commodities markets from corn to lumber, with tin climbing above $30,000 a tonne for the first time since 2011 on Thursday.
In the wake of mounting evidence of inflation fuelled by higher raw materials prices, investors are also increasingly focused on when the U.S. Federal Reserve might start throttling back its emergency support.
Many banks say the rally has further to run, particularly for copper, which will benefit from rising investment in new energy sectors. Copper is at the highest in a decade, fueling bets it will rally further to take out the record set in February 2011. Steel demand is surging as economies chart a path back to growth just as the world’s biggest miners have been hampered by operational issues, tightening ore supply.
“The long-term prospects for metals prices are ‘too good’ and point to higher prices in the next few years,” said Commerzbank AG analyst Daniel Briesemann. “The decarbonization trends in many countries, which include switching to electric vehicles and expanding wind and solar power, are likely to generate additional demand for metals.”
Trading house Trafigura Group and several major Wall Street banks including Goldman Sachs Group Inc. and Bank of America Corp. expect copper to extend gains.
Copper rose as much as 1.6% to $10,108.50 a ton on the London Metal Exchange before trading at $10,080 as of 4:07 p.m. in London.
Benchmark spot iron ore prices rose to a record, while futures in Singapore and China climbed.
The boom comes as China’s steelmakers keep output rates above 1 billion tons a year, despite a swath of production curbs aimed at reducing carbon emissions and reining in supply. Instead, those measures have boosted steel prices and profitability at mills, allowing them to better accommodate higher iron ore costs.
Spot iron ore with 62% content hit $201.15 a ton on Thursday, according to Mysteel. Futures in Singapore jumped as much as 5.1% to $196.40 a ton, the highest since contracts were launched in 2013. In Dalian, prices closed 8.8% higher.
Erik Hedborg, Principal Analyst, Steel at CRU Group commented: “Recent production cuts in Tangshan have boosted demand for higher-quality ore and prompted mills to build iron ore inventories as their margins are on the rise. Iron ore producers are enjoying exceptionally high margins as well, around two thirds of seaborne supply only require prices of $50 /dmt to break even.”
Still, some analysts including Commerzbank’s Briesemann expect a short-term correction as metals become detached from fundamentals. There’s also a risk that China could engage in policies that may cool demand for iron ore and copper.
The metals rally has boosted concerns about short-term Chinese demand. Some manufacturers and end-users have been slowing production or pushing back delivery times after costs surged, while weaker-than-expected domestic consumption has opened the arbitrage window for exports.
Tin climbed as much as 2% to $30,280 a ton on the LME, boosted by rising orders for the soldering metal. Tin is at the highest since May 2011, with a 48% gain this year making it the best performing metal on the LME.