Gold plays two roles: 1) insurance to fear 2) as a currency which usually does not perform very
well in a deflationary environment.
Not exact matches
The point is, commodities will generally hold their value
in an inflationary
environment better than fiat money, however if the
environment is
deflationary fiat money is
better.
My general thought about copper is that it probably won't do
well in the upcoming
deflationary environment, but that's neither here nor there as NCQ is more of a play on exploration and development.
Good luck computing a dividend discount model [when the denominator is negative]... Obviously, growth could be pressured
in a
deflationary environment, but many businesses would retain absolute pricing power and have [theoretically] infinite value.»