Wall Street's major institutions have reached a consensus: commodity valuations relative to US equities have fallen to their lowest in over 50 years, and the scarcity of physical resources is triggering a "hard asset squeeze."

Barclays, UBS, HSBC, JPMorgan Chase, and Goldman Sachs are among several top institutions warning that physical shortages of commodities are driving sharp price increases. Christopher LaFemina, Head of Global Metals and Mining Research at Jefferies, noted that the ratio of the S&P Goldman Sachs Commodity Index to the S&P 500 Index is currently hovering at its lowest level in over five decades, and historically, similar valuation troughs have been followed by significant outperformance of commodities over equities. Veteran commodity strategist Jeff Currie warned that "scarcity in the physical world" is now the most critical theme to watch. Copper prices have surpassed $14,000 per ton, tungsten prices exceed $3,000 per ton, uranium prices have returned above $90 per pound, and agricultural product prices continue to surge. The accelerating electrification process, surging demand for AI infrastructure construction, rising global electricity consumption, geopolitical fragmentation, and years of underinvestment have collectively created a "perfect storm" of supply constraints.