It turns out that professional investors are heavily shorting these stocks: should you sell them now?
According to the Financial Times, hedge funds are increasingly betting on the shares of companies that mine precious metals and rare earth metals, which are supported by the US government. This sector has seen significant growth in recent times due to Washington’s capital injections, but investors believe that the shares are now overvalued. Meanwhile, China continues to play a key role in global supply chains.
Hedge funds are increasingly betting on the shares of companies that mine critical minerals and rare earth elements, backed by the US government, according to the Financial Times. While the sector has experienced significant growth in the past year thanks to Washington’s capital injections, investors believe that the share prices have become overvalued, while China continues to maintain a stable grip on global supply chains.
