blog 03 16

Mining stocks are publicly traded companies focused on finding, extracting, and processing deposits of valuable minerals and materials. These substances include:

Many of these metals and materials are crucial to the global economy. Industries need the raw materials to build and manufacture goods, products, and infrastructure. When the economy is expanding, mined materials are in high demand, which boosts prices.

However, the mining industry is cyclical. Demand for mined materials tends to fall when the economy slows down. Mining stock prices typically decline during a recession. That’s a concern for investors in 2022 given the worries that surging inflation will force central banks to raise interest rates, which could tip the global economy into a recession.

One factor causing inflation is Russia’s invasion of Ukraine. Both countries play a major role in the iron and steel industries and are significant fertilizer producers. If the war continues, it could keep the upward pressure on those commodity prices.

Given the mining industry’s cyclicality, investors need to focus their attention on mining stocks that can weather future economic storms. Let's dig into some of 2022’s best mining stocks and take a closer look at investing in the mining industry.

Top mining stocks to buy in 2024

These are some of the top mining companies:

Source: Company websites
Company Description
Barrick Gold (NYSE:GOLD) Gold and copper mining
BHP Group (NYSE:BHP) Diversified mining operations
Rio Tinto (NYSE:RIO) Industrial metals mining

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