Hedge funds are buying cobalt, apparently betting on the metal used to make electric car batteries, and its value will soar as cars become more popular.
Six hedge funds have reportedly accumulated about 6,000 tons of cobalt, worth $0. 28 billion, or 17 of global production last year.
Cobalt is used to make lithium.
Ion batteries that power handheld electronic devices such as smartphones.
The metal is also used to make different types of lithium-
Ion batteries used to power hybrid vehicles such as Toyota Prius and Tesla Model S.
The price of cobalt yesterday was about $21. 77 per pound.