'Big change' in global growth is bullish for commodities including copper, says VanEck CEO

cnbc.com:

Investors should consider commodities due to a «big change» involving international expansion, according to VanEck CEO Jan van Eck.

«The world economy started growing again,» van Eck told CNBC's "ETF Edge" this week.

He singles out China, the world's second-largest economy behind the U.S., as a key driver in the expansion.

«China which has been such a huge driver of growth and so negative for growth over the last year or two. Manufacturing PMI is now positive in China as of March,» said van Eck. «You now have growth.… So, that leads to your reflation trade.»

His firm has exposure to commodities from gold to energy to copper. Its exchange-traded funds include the VanEck Gold Miners ETF (GDX) and VanEck Oil Refiners ETF (CRAK). They're up 10% and 9%, respectively, year to date.

Van Eck highlights copper's momentum as a positive sign for demand. The industrial metal is up almost 16% this year, as of Friday's close.

«It's a good measure of global economic growth and energy prices. [They] probably have gotten a little bit ahead of themselves, but they're reflecting the world is growing,» he said.

He also sees U.S. government spending as bullish catalyst for the commodities trade.

«Fiscal spending is running so super high,» van Eck said. «That's leading to this global growth trade, too. So, that's why I like commodities because I think it's more than just a headline.»

As of Friday's close, the S&P GSCI Index Spot, which tracks commodities from crude oil to cocoa, is up 10% so far this year.