100% Upside In This Asset As Supply Chains Break Down | Nomi Prins

Copper projected above $7 per pound

Prins forecasts copper will exceed $7/lb by year-end due to processing bottlenecks concentrated in China and an upcoming Section 232 report (due June 30) likely to classify copper as a national security asset, enabling future tariffs.

Silver targeting $120 per ounce

Despite recent consolidation, Prins maintains a $120+ year-end target for silver, representing roughly 100% upside from current levels, and emphasizes it remains their top commodity pick for the year.

Aluminum shortages from Hormuz disruptions

The Strait of Hormuz operating at just 6% capacity has severely constrained aluminum processing, exacerbating existing U.S. supply issues where only one of four domestic smelters operates at full capacity.

Gold confirmed as top reserve asset

While gold has consolidated from highs as marginal investors pivot to energy plays, the European Central Bank confirmed it as the number one reserve asset for central banks globally, with strategic accumulation continuing to diversify from U.S. debt.

Current range presents buying opportunity

Prins views gold's consolidation as temporary and attractive for accumulation, particularly in miners operating in neutral jurisdictions with stable permitting environments.

Fed balance sheet remains elevated

Despite quantitative tightening rhetoric, the Fed maintains a $6.5 trillion balance sheet ($2 trillion above financial crisis peaks) and has resumed purchasing $40 billion in Treasuries monthly, signaling ongoing monetary support.

Crisis interventions drive asset prices higher

Prins explains that markets have rebounded to all-time highs following the Iran war shock because investors anticipate increased central bank intervention and potential Treasury-Fed collaboration to manage $40 trillion federal debt and $1+ trillion annual interest payments.

AI boom requires commodity infrastructure

The AI sector's continued strength depends on physical infrastructure—data centers, electrical wiring, and energy systems—that requires massive copper inputs, creating structural demand that will outpace supply for years.