September 13, 2022

RESOURCE NEWS

Do you want to invest smart?

By Jawad Hamze

Inflation is high these days which means the prices of goods have risen. This makes most
people confused about what natural resources to invest in. So, what natural resources should
you or should you not invest in?

Resources to invest in:

Development of Vale’s stocks from 2017 to July 2022

Iron Ore
It is strongly advised that you should
invest in iron ore. The reason for this is
that the the price is increasing by a lot.
Steel players use iron ore as raw
material to make steel and coal to feed
their captive power plants. After back-
to-back downward corrections, steel
prices started to rise since July last year
due to high input costs. Ukraine and
russia also have a large contribution of
steel to other countries. Although the
Oil
Oil is known to be very valuable, and as long as there is still a
high price might only be temporary
war between Russia and Ukraine, the price of it will be
because of the Russia war with Ukraine,
increasing. The oil is getting more and more valuable because
iron will still be a natural rescource in
there is a shortage of supply to especially the European
huge demand as it is used for machinery
countries. The demand is increasing. But investors should be
that people need. Also the price of
aware that an end to the war or cessation of sanctions against
stocks for companies like Vale have
Russia might mean that the price of oil will drop drastically.
gone up by almost 120% since 2017.
Since august, the price of Rosneft stocks, an oil company, has
gone up by 20% this has also happened with another oil
Hydro Electric Energy company called Gazprom.
For the future, then it is advised to invest
in anything sustainable such as
hydroelectric energy, these sustainable
resources are the key to make the world
a better place. Hydroelectric energy is
going to be used more and more as it is
sustainable. Another reason to invest is
because the annual electricity price has
gone up by triple since 2004. The price
of stocks for companies such as Duke
Energy have increased by 10% since last
month.
 September 13, 2022
RESOURCE NEWS
Resources not to invest
Stocks of the company Shaanxi Coal from September 6th to September 14th

in:
Coal
It is strongly advised not to invest in
coal in 2022. The price of it has been
going down since 1995, this is mainly
because coal is non-sustainable. Since
the last week, the price of coal has gone
down by more than 4%. Also, the price
of the stocks of companies like Shaanxi
Coal have gone down.

Gas
Gas is a resource that is recommended Pork
to not invest in. The price of gas has The price of pork is something some people are clueless about.
increased significantly because of It is advised by experts to not invest in pork. The reason for
Russia's decision to not deliver it to the this is because there has been a price increase of basic food,
European countries as a reaction to the this includes vegetables, corn and dairy products etc. Pork is
European country’s sanctions on Russia. not one of these basic foods therefore it has not been consumed
However, this might change if this as much. Another factor is that there has not been a strong
conflict ceases, and the price of gas demand for pork. Therefore, the price of pork has decreased.
might return to what it was before
Russia's war on Ukraine. In addition,
gas has been used less over the last
decades because it is not sustainable in a
more sustainable-seeking world. Lately,
the stocks of gas have been going down.
Since last month, the price of stocks for
gas has been going down.

Gas prices in 2022