CMC Forecast



Bearish<—>Bullish



80% Confidence




Bullish Case: Infrastructure projects bolster CMC, coupled with declining volatility—seen in the term structure—indicating potential stability and investor confidence.




Bearish Case: High implied volatility and negative return likelihoods imply downward pressure, with mean reversion signaling possible price correction.




Potential Outcomes:
  • Price Spike: 35% due to fiscal stimuli and infrastructure boost.
  • Price Decline: 50% as high P/B and volatility surface risk correction.
  • Stable Prices: 15% amid mixed signals and unchanged fundamentals.



March 18, 2025


Commercial Metals Forecast

CMC        Commercial Metals











Correlated Assets

Assets that tend to move strongly with CMC



  FERG   (0.81)


BC Forecast + Options Trading Strategies   BC  Brunswick (0.72)


DIN Forecast + Options Trading Strategies   DIN  Dine Brands (0.7)


NOG Forecast + Options Trading Strategies   NOG  Northern Oil and Gas (0.69)


UUUU Forecast + Options Trading Strategies   UUUU  Energy Fuels (0.68)



Uncorrelated Assets

Assets with little price relationship to CMC



GTLB Forecast + Options Trading Strategies   GTLB  Gitlab (-0.0)


UBER Forecast + Options Trading Strategies   UBER  Uber (-0.0)


WVE Forecast + Options Trading Strategies   WVE  Wave Life Sciences (0.01)


NTNX Forecast + Options Trading Strategies   NTNX  Nutanix (-0.01)


MPWR Forecast + Options Trading Strategies   MPWR  Monolithic Power System (-0.01)



Anticorrelated Assets

Assets that tend to move strongly against CMC



SSRM Forecast + Options Trading Strategies   SSRM  SSR Mining (-0.4)


SATS Forecast + Options Trading Strategies   SATS  EchoStar (-0.42)


NOK Forecast + Options Trading Strategies   NOK  Nokia (-0.48)


DKL Forecast + Options Trading Strategies   DKL  Delek Logistics Partners LP - Unit (-0.49)


HIMX Forecast + Options Trading Strategies   HIMX  Himax (-0.5)









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