Freeport McMoRan (FCX) Could Have Great 2012

The uncertainty surrounding the global economy heading into 2012 makes any projection almost impossible in any industry, and that includes base metals like copper, and miners like Freeport McMoRan (FCX).

Freeport has significant exposure to copper, but also to gold, molybdenum, silver, and cobalt.

Gold could take a breather in 2012, depending on decisions in Europe and whether the Federal Reserve deems it necessary to print up more money to throw into the market.

Silver is being driven by industrial demand at this time, but could easily migrate to an alternative currency, based upon the same parameters driving gold prices.

Copper appears to be in rebound mode, and similar to aluminum, has the potential to be short of supply, which could drive up prices. Much of this will be determined by China.

While Freeport has been rebounding in price since October lows, it still seems to be a decent price point to enter at this time, even if 2012 isn't as strong a year for copper as expected at this time.

Freeport downgraded by Standpoint Research from a "Buy" rating to a "Hold" rating.

The mining giant was trading at $41.74, falling $0.71, or 1.67 percent, as of 1:37 PM EST.