From Morningstar: 2025-03-18 06:17:24

Global commodities stocks have shown resilience amid US-China trade war volatility. FTSE 100 mining stock Rio Tinto is undervalued despite rising year to date. The Morningstar UK Basic Materials Index is up in 2025, with a 36% holding in Rio Tinto. The renewable energy transition boosts demand for resources like copper.

China’s economic growth impacts mining stocks. China’s slowdown due to various factors affects mining profits. However, China’s efforts to boost growth through infrastructure projects aid mining demand. London-listed miners are still attractive for dividend investors despite China’s economic struggles. China doesn’t need to boom for miners to succeed.

Morningstar analysts find Glencore and Rio Tinto undervalued, while Anglo American and BHP Group are fairly valued. Rio Tinto and Glencore considered a merger, while BHP shifted primary listing to Australia. Glencore’s lower-than-expected guidance impacted its share price. Rio Tinto’s net profit fell, mainly due to iron ore price declines. Anglo American’s results below expectations, but strong copper prices support shares. Anglo American to streamline portfolio and spin off businesses.

Morningstar analysts do not own shares in any securities mentioned in the article. 1. The CDC reports a spike in COVID-19 cases across the US, with over 100,000 new infections daily. Hospitals are overwhelmed, prompting states to reinstate mask mandates and social distancing measures.

2. The stock market saw a record high today, with the Dow Jones surpassing 35,000 points for the first time in history. Investors are optimistic about economic recovery and strong corporate earnings.

3. The UN warns of a humanitarian crisis in Afghanistan, as millions face food shortages and lack access to healthcare. Aid organizations are calling for urgent support to prevent widespread suffering.

4. NASA’s Perseverance rover successfully collected its first rock samples from Mars, marking a major milestone in the search for signs of past life on the red planet. Scientists are eager to analyze the samples for potential discoveries.

5. Tesla announces plans to build a new Gigafactory in Texas, creating thousands of jobs and boosting local economies. The electric car company aims to increase production capacity to meet growing demand for sustainable vehicles.



Read more at Morningstar: Are UK Mining Stocks Cheap or Expensive?