As inflation heats up, the stocks of some commodity-based companies can move higher. These companies hold a large part of their assets in commodities, so as their prices move higher, the companies become more valuable.
They include Exxon Mobil Corporation(NYSE:XOM),Southern Copper Corporation(NYSE:SCCO), and Newmont Corporation(NYSE:NEM).
Exxon benefits from higher oil prices. The stock has hit resistance at the $63.50 level and it could be on the verge of a breakout.
Southern Copper benefits from higher copper prices. Shares have dropped to support around the $67 level and there’s a chance they rebound.
Newmont is a gold miner. As the price of gold increases, so does its value. The shares are close to the $68.50 level and there’s a chance they find support and rally.
