Analysis Topic: Commodity Markets - Metals, Softs & Oils
The analysis published under this topic are as follows.Friday, March 04, 2011
Gold Has No Intrinsic Value and Not a Store of Value / Commodities / Gold and Silver 2011
Gold is a valuable thing to store. However, it is not a store of value. Gold has intrinsic properties that make it valuable. However, it does not have intrinsic value.
I mention this, because, at some point, you will read about gold as a store of value. You will read of gold's intrinsic value. Every time you read either of these phrases, you will know that the author does not understand economic theory.
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Friday, March 04, 2011
Leverage Surging Crude Oil Demand / Commodities / Crude Oil
The rising tide of commodity prices has had a multiplier effect on the smaller unrecognized and undervalued oil explorers and producer. Private investor Chen Lin is leveraging ever-increasing demand for oil via micro- and small-cap stocks. He looks for companies with strong balance sheets that can generate the cash flow to become self-funding in a relatively short period of time. In this exclusive interview with The Energy Report, Chen explains how he determines which companies have the potential to double, triple or even quadruple and shares some promising stocks he owns.
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Friday, March 04, 2011
Impending Crude Oil Correction By Mass Rollover / Commodities / Crude Oil
Thanks to Muammr Gaddafi’s airstrikes near a Libyan oil terminal, and protests in Iran adding to the continuing chaos in Middle East and North Africa (MENA), on Wednesday, March 2, Brent oil settled at its highest level since August 2008 at $116.35 a barrel, while WTI futures on NYMEX also advanced to $102.33 per barrel.
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Friday, March 04, 2011
Natural Resource Depletion Crisis, The Real Reason Commodities Beat Stocks / Commodities / Commodities Trading
February: Metals, food and fuel beat stocks, bonds and the US dollar for a third straight month, the longest winning streak since June 2008. Price rises fundamentally driven by short supplies lifted all soft commodities from the grains and vegetable oils to sugar, cotton and rubber, for a 2.2 percent gain over 28 days, lifting the UN FAO 55-item food index to a record high. Geopolitical threat to oil supply, intensified by investors speculating that violence in the Arab and Muslim world will curb oil supplies lifted oil prices, while the only fossil energy resource bright spot – shale gas – kept a tight lid on gas prices in US markets, but not on oil-linked or indexed import dependent European and Asian markets.
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Thursday, March 03, 2011
Gold and Silver Breaking New Highs As U.S. Dollar Loses Appeal As Safe Haven / Commodities / Gold and Silver 2011
The gold (GLD) and silver (SLV) meteor keeps soaring in the skies over Wall Street as the US dollar (UUP) is parachuting into new lows. The spot price of silver this week broke $34.40, zooming into a record high area unseen since 1980. On March 1, gold followed its poorer brother by breaking out at $1425. The US dollar is challenging all-time lows. It does not take a PhD from Princeton to realize that there may be a problem here. Maybe the recent radical central bank actions should be reconsidered? True, 401(k)'s look good, but it has come at the expense of significant dollar debasement.
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Thursday, March 03, 2011
Resistance Plateau for Crude Oil / Commodities / Crude Oil
While crude oil waffles around between $103 and $100, let's take a look at the big picture. The big picture of crude oil prices (WTI futures) shows the bull move from the Dec 2008 low at $32.40 into the Feb 2011 high at $103.41, which represents almost an exact 62% recovery of the entire prior bear market decline from $147.27 hit in July 2008.
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Thursday, March 03, 2011
Euro-Gold Drops 1% in 30 Mins as Trichet Vows Strong Inflation Vigilance / Commodities / Gold and Silver 2011
BOTH GOLD and spot silver prices fell sharply in London trade lunchtime Thursday, finding a floor some 1.5% and 2.3% below this week's record highs vs. the Dollar after European Central Bank president Jean-Claude Trichet said a Eurozone rate rise is "possible" next month.
The gold price in Euros dropped 0.9% in just 30 minutes to trade 2.5% below this week's 7-week high of €33,500 per kilo.
Thursday, March 03, 2011
Crude Oil $130 Could Be Just the Beginning as Libya Crisis Intensifies / Commodities / Crude Oil
David Zeiler writes: With rising violence in Libya looking increasingly like a war, the head of Libya's national oil company said yesterday (Wednesday) that crude prices could reach $130 a barrel within a month.
But that may be just the beginning, as other analysts have raised fears of oil prices topping $200 and even $300 a barrel.
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Thursday, March 03, 2011
China Gold Demand Voracious, Chinese Yuan Gold Standard? / Commodities / Gold and Silver 2011
Gold and silver have recovered somewhat from slight falls in Asia overnight and are now higher against the British pound and Swiss franc which are weaker this morning. With geopolitical instability looking set to escalate and the real possibility of a military confrontation in the Mediterranean, any sell off in the precious metals will likely be tentative.
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Thursday, March 03, 2011
Silver, Rethinking “Buy on the Dips” / Commodities / Gold and Silver 2011
Perhaps no more do we hear this common phrase “buy on the dips” than in raging bull markets. Investors who have long sought to price themselves into strong markets have used this phrase to justify their patience. However, truthfully, “buying on the dips” isn’t at all rational.Read full article... Read full article...
Thursday, March 03, 2011
As Silver Prices Rise, Silver Volatility will Grow / Commodities / Gold and Silver 2011
It does not seem uncommon to log online or turn on a TV and see silver head higher. Save for a few weeks in January, the trend toward higher prices has been in effect since August, when most people were still thinking silver at $20 was overvalued. At $33, it’s still a bargain.Read full article... Read full article...
Thursday, March 03, 2011
U.S. Mint Suspends Sales of Silver Eagles / Commodities / Gold and Silver 2011
This news was initially reported by Patriot News Radio, which you can listen to in this video clip. While the information is true and current as displayed on the U.S. mint page here, it is not anything new. The Mint has not sold uncirculated American Eagle silver coins directly on their site for two years, but has continued minting “bullion coins” that are distributed to dealers.
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Thursday, March 03, 2011
Seeking Value in Junior Gold Miners / Commodities / Gold and Silver 2011
Independent investor Chen Lin takes advantage of high metals prices by investing in companies with the financial strength to stay the course until the resource is in production or can be expanded, making the company an attractive takeover target. For metal miners, the sustainability factor is critical because it can take years to get a mine to cash flow-positive status. Chen shares several of the companies he owns that he believes will return significant capital appreciation in this exclusive interview with The Gold Report.
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Thursday, March 03, 2011
The Libyan Crisis: Where Are Crude Oil Prices Going? / Commodities / Crude Oil
Marin Katusa, Casey’s Energy Report writes: The oil picture is always complex, but right now things are about as complicated as they can get.
The unrest in Egypt has settled for the moment, but the future there is not yet clear as the military takes control on promises of free elections.
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Thursday, March 03, 2011
How Safe Is Your Physical Gold? / Commodities / Gold and Silver 2011
Jeff Clark, BIG GOLD writes: One of my best friends recently discovered, to his shock and dismay, that five one-ounce gold coins had been stolen from his home. I feel especially bad because I had encouraged him to buy some physical metal, giving him some tips and pointing him to the better dealers.
What's especially disconcerting about the theft is that my friend had the coins stored in a safe, hidden from view, securely locked, with the key hidden. He thought his gold was safe, a reasonable assumption given the precautions he'd taken.
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Thursday, March 03, 2011
Silver Breakout, Bang Bang, Maxwell Silver Hammer / Commodities / Gold and Silver 2011
Everybody loves the Beatles, whose strange songs are stuck in the memory of millions of people. "Bang, bang, Maxwell's silver hammer, came down upon her head. Bang, bang, Maxwell's silver hammer, made sure that she was dead." Little did the legendary Beatles realize they were providing the theme song for the linchpin of the USDollar in its lethal slide into the dustbin of fiat currency history. The song might have referred to Blythe Masters herself, the arrogant megalomaniac in wait, the JPMorgan queen of ruin.
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Thursday, March 03, 2011
Strong Technicals for Junior Gold Miners GDXJ ETF / Commodities / Gold & Silver Stocks
The hourly chart of the Market Vectors Junior Gold Miners (GDXJ) has two powerful aspects to it. One is that the base-like accumulation pattern that developed between early Jan and late Feb has propelled prices above its key breakout plateau at 38.50. This triggers potential upside targets at 42.50 and then 44.40.
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Wednesday, March 02, 2011
Silver Out-Runs Gold 3 Times Over on Libyan Civil War Risks / Commodities / Gold and Silver 2011
THE PRICE OF GOLD in US Dollars ticked higher to reach a new all-time record in London trade on Wednesday, touching $1436 per ounce as crude oil rose further above $100 per barrel and world stock markets fell for the eighth session in nine.
The US and other Western governments backed down from intervening in Libya's civil war, while Colonel Gaddafi vowed to "fight until the last man and woman".
Wednesday, March 02, 2011
Silver Outweighs Gold / Commodities / Gold and Silver 2011
In the world of precious metals, silver spends a lot of time in the shadow of its big brother gold.
Gold, with its high price-to-weight and distinctive yellow tint, has always occupied a special place in the human psyche. To many people across many ages, gold is simply the ultimate form of money - and, as a long-term, stable store of value for one's personal wealth, I agree it's hard to beat.
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Wednesday, March 02, 2011
Gold Breakout Price Targets / Commodities / Gold and Silver 2011
The gold and silver markets rallied dramatically to the upside as concerns and worries over oil supplies, inflation, and general nervousness in the world markets pushed both metals into new high ground.
I have just completed a new short video where I share with you my upside target zones for gold. The video only takes a few minutes to watch and emphasizes how important technical analysis is in the gold market. Our weekly Trade Triangles have been long gold from $1,368 and it looks as though that position is going to work out well.