Goldman's Currie Sees $16 Trillion Green Capex Driving Commodities Demand

The video discusses the constraints on commodity supply, highlighting the lack of investment in the old economy due to better returns in tech and ESG issues. It explores the energy transition's impact on metals like copper and the anticipated $16 trillion green capex. The demand dynamics are analyzed, showing a shift from high to low-income households, increasing commodity demand. The video also examines oil's role in the energy transition, noting that only short-cycle production is viable. Finally, it addresses inflation concerns, emphasizing demand-pull inflation and the need for hedging through commodities.

What is one of the main reasons for the lack of investment in old economy production capacities?

• Increased demand for commodities

• Government regulations

• Technological advancements

• High returns in the new economy

How long does it typically take to bring a new copper mine into production?

• 11 to 15 years

• 5 to 10 years

• 3 to 4 years

• 1 to 2 years

What is the estimated capital expenditure for green energy over the next decade?

• $25 trillion

• $10 trillion

• $20 trillion

• $16 trillion

Which group is currently benefiting more from the stimulus, according to the discussion?

• High-income households

• Middle-income households

• Corporate investors

• Lower-income households

What type of oil production is considered less risky in the current energy transition scenario?

• Arctic exploration

• Long-cycle production

• Short-cycle production

• Deep-sea drilling

What is the expected trend for oil demand growth after 2030?

• It will start to decline

• It will stabilize

• It will increase rapidly

• It will remain unchanged

What is a potential consequence of rising commodity prices on bond yields?

• Bond yields will become unpredictable

• Bond yields will decrease

• Bond yields will increase

• Bond yields will remain stable