As inflation data looms, producers in the metals and raw materials sector have experienced a notable boost. Analysts predict that this data will serve as a crucial indicator for the Federal Reserve’s potential actions at their upcoming September meeting. J.D. Joyce, president of Houston financial advisory Joyce Wealth Management, suggests that the Fed’s emphasis on being data-dependent means they will closely monitor both consumer price inflation and the core CPI.
The Wall Street Journal has reported that the United States and Saudi Arabia are currently engaged in discussions with regard to securing metals from Africa. These materials are essential for both countries’ energy transitions. The U.S. is particularly focused on diminishing China’s stronghold on the electric-vehicle supply chain, while Saudi Arabia aims to invest $15 billion in various global mining ventures.
Furthermore, recent analysis of lithium reserves in Nevada holds significant implications for U.S. energy policy, as highlighted by Joyce. He explains that if the nation is moving towards an electric-vehicle-centric model, reducing the need for lithium imports could strengthen the likelihood of an EPA mandate supporting this transition.