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Strategies & Market Trends : ajtj's Post-Lobotomy Market Charts and Thoughts

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To: bull_dozer who wrote (51542)2/12/2022 2:11:38 PM
From: bull_dozer6 Recommendations   of 97654
 
Yield-hungry investors rush into mining stocks

Investors are rushing into mining stocks as they hunt for assets that can deliver strong income streams at a time of persistently high inflation.

London-listed shares of BHP, the world’s biggest natural resources company, and rival Anglo American both hit record highs earlier this week, boosted by rising commodity prices and the prospect of big cash returns when the sector’s reporting season starts next week.

Deutsche Bank expects the five mega-miners, a group that also includes Glencore, Rio Tinto and Vale, to declare dividends and cash returns of $24bn, with the prospect of more to come later in the year.

Those payments are becoming increasingly attractive for equity investors who are struggling to find positive real yields, the return they can expect to make once rising inflation is taken into account.

ft.com
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