Jim Cramer Recently Discussed These 7 Stocks

2. Freeport-McMoRan Inc. (NYSE:FCX)

Number of Hedge Fund Holders: 74

Discussing copper stocks like Freeport-McMoRan Inc. (NYSE:FCX), Cramer said:

“I don’t like the copper stocks and copper doesn’t yield a lot here, 1.36. I don’t like Freeport-McMoRan. I just don’t wanna own, I don’t wanna own them. I mean, you know, their time has come and gone.”

Freeport-McMoRan (NYSE:FCX) is involved in the extraction of mineral resources across North America, South America, and Indonesia. The company primarily focuses on exploring copper, gold, molybdenum, silver, and various other metals. According to S&P Global on November 6,  Donald Trump’s victory in the U.S. presidential election caused a drop in copper prices, primarily due to the prospect of high tariffs, potential rollbacks of energy transition policies, and a strengthening U.S. dollar.

Ole Hansen, head of commodity strategy at Saxo Bank, mentioned on November 6 that “the risk of China tariffs and attempts to kill the [Inflation Reduction Act] are likely to weigh on prices, especially copper.” Analysts predict that tariffs could dampen global growth and reduce demand for metals, which would put downward pressure on industrial metal prices.

Colin Hamilton, a commodities analyst at BMO Capital Markets, stated that the tariffs could hinder growth and delay progress on metals-intensive net-zero goals, particularly due to the absence of viable alternatives to China’s technological dominance in energy transition technologies.

However, in the short term, Hansen believes copper prices could rebound following the sharp decline on November 6, as any new tariffs are likely to take several months to be implemented. He added, “But, overall, the global economy will hold its breath.”