| Mining companies, providing basic materials to fuel economies around the world, are unquestionably valuable economic contributors. But despite widespread demand for their products, mining companies may not be good investments for some investors. A common belief is that owning these companies gives shareholders exposure to growing commodities markets, a close proxy for the expanding global economy.
But in reality, mining companies' profits don't always track price gains in commodities markets, given the unpredictable operating costs and ongoing capital expenditures of running a mining business...............................Full Article: Source
|