Analysis Topic: Commodity Markets - Metals, Softs & Oils

The analysis published under this topic are as follows.

Saturday, August 20, 2011

Why Silver Over Gold? / Commodities / Gold and Silver 2011

By: Mike_Paulenoff

During the last few sessions, my intraday gold/silver ratio work has been warning me that the recent leadership role of gold's upside acceleration might undergo a change. No, not that gold will reverse, but more than likely silver will begin to outperform gold again on the upside.

Again? Yes, remember that for 9-month period between July 2010 and April 2011, silver prices rocketed while gold prices climbed at a much more subdued rate of change.

Saturday, August 20, 2011

The Zen of Resource Stocks Speculation / Commodities / Gold & Silver Stocks

By: Casey_Research

Louis James, Casey International Speculator writes: Whenever gold and silver hit a correction, those are the times that try men’s souls. But they are also a classic case of making volatility our friend.

And there should be terrific bargains ahead on great stocks, if the market corrects from recent highs. It enables you to go long at prices as low as, or sometimes even lower than, those paid by speculators who picked winning plays early – but with the advantage of hindsight about the results of those companies’ exploration and development efforts. You get a combination of lower risk and lower prices.

Saturday, August 20, 2011

What Outcome for Gold Following Stocks and Currencies Volatility? / Commodities / Gold and Silver 2011

By: Przemyslaw_Radomski

We are marking a dubious 40-year anniversary this week. It was on August 15, 1971 that President Richard Nixon unilaterally “closed the gold window,” severing the dollar’s ties to gold forever, possibly one of the most significant policy decisions in modern economic history. It was a part of dramatic measures meant to deal with the nation's huge balance of payments deficit, its weak growth, and inflation. Speculative attacks on the dollar had begun in the late 1960s as concerns mounted over cost of the Vietnam War and America's rising trade deficit. Other countries were increasingly reluctant to take dollars in payment and demanded gold instead.

Friday, August 19, 2011

Gold Overbought, Could Fall by $300 / Commodities / Gold and Silver 2011

By: Zeal_LLC

Gold has enjoyed an amazing rally in recent weeks, catapulted higher by the extreme fear sparked by the sharp stock-market correction.  Naturally such big and fast gains have led to a surge in gold’s popularity among investors and speculators, as everyone loves a winner.  But gold prices flow and ebb like everything else, and this metal has become very overbought today.

Friday, August 19, 2011

U.S. Dollar May Assist in Managing Gold & Silver Holdings / Commodities / Gold and Silver 2011

By: Chris_Ciovacco

Inexperienced investors in the commodity markets should keep in mind that while gold and silver look good now, silver dropped 59% in the last bear market and gold fell 32%. Both silver and gold held up better than stocks (and the dollar) early in the last bear market (as they are now), but eventually deflationary fears caught up with precious metals. Risk management is required for all positions, even “safe” positions like gold and silver. We own both gold and silver, but it is important that we understand the downside potential of any asset.

Friday, August 19, 2011

Gold Soars on Global Stock Market Bloodbath / Commodities / Gold and Silver 2011

By: Ben_Traynor

THE DOLLAR gold price hit yet another new all-time record late on Friday morning in London, hitting $1876 per ounce – as stock markets around the world continued to plunge.

The gold price then fell 1.6% in less than two hours as US markets opened for business.

Friday, August 19, 2011

Gold & Silver Surge on Perfect Storm, Chavez Gold Action Leads to Backwardation, Short Squeeze / Commodities / Gold and Silver 2011

By: GoldCore

All major currencies have fallen sharply against gold and silver again today with gold reaching new record nominal highs in Canadian and New Zealand dollars, in sterling, in euros and of course in dollars as turmoil continues in global markets.

In volatile trade, gold is down 1% from new record highs and is trading at USD 1,860.10, EUR 1,300.40, GBP 1,126.40, CHF 1,470.90, and JPY 142,414 per ounce and has risen some 2% in all currencies. Silver has surged by nearly 3% in all major currencies.

Friday, August 19, 2011

Crude Oil Looks Weak / Commodities / Crude Oil

By: Seven_Days_Ahead

The Oil market, for so long considered a one way bet for the bulls and potentially ruinous for western economies, no longer looks so sure-footed.

Friday, August 19, 2011

Copper Back at Pivotal Support Area / Commodities / Commodities Trading

By: Seven_Days_Ahead

The May/Jul recovery in Copper prices, from earlier Fibonacci support, stopped short of the Feb high and, now, the recent quick reversal has seen the market return to key supports on the daily and longer term charts.

Friday, August 19, 2011

Gold Stocks Break to New Highs Against Equities / Commodities / Gold & Silver Stocks

By: Jordan_Roy_Byrne

In our most recent commentary we wrote about the relative strength in the gold equities. Gold equities have not only bucked the downtrend in the equity markets but in relative terms are breaking to new highs against equity indices. In the chart below we plot precious metals prices, GDX versus the Morgan Stanley World Index and GDX versus the S&P 500. We highlight how each performed during bear markets. Other than in the crash in 2008, precious metals and the equities have performed quite well during times of struggle for conventional stocks.

Friday, August 19, 2011

Silver Heading Higher / Commodities / Gold and Silver 2011

By: Mike_Paulenoff

From a big picture pattern perspective, all of the action in the iShares Silver Trust (SLV) off of the major April high at 48.32 has carved out a base-like "cup" formation from early May to late July, which has been followed by a correction that has taken the shape of a "handle."

The composite picture produces a "cup-and-handle" intermediate-term bottom formation, which should propel silver prices -- and the SLV -- considering higher in the upcoming days and weeks.

Thursday, August 18, 2011

Gold Season Starting Soon! / Commodities / Gold and Silver 2011

By: Julian_DW_Phillips

There is a gold season but it has been changing its character for a while now, being swamped by the structural changes the gold world has experienced particularly over the last few years. To see the impact of the gold season may not be as easy as it was before. What is this gold season and what are the changes that are affecting its impact on the gold price now?

Thursday, August 18, 2011

Is Another Gold Boom Waiting to Happen? / Commodities / Gold and Silver 2011

By: Eric_McWhinnie

Gold (NYSE:GLD) has been in an uptrend for over a decade now. Last week, gold climbed above $1800 per ounce before consolidating. Although gold seems to break a new nominal high every other day, the gold critics have been consistently wrong about gold being in a bubble. In fact, Geroge Soros called gold in late 2010 the “ultimate bubble.” Many investors may be wondering where the next catalyst for higher gold prices will come from (besides more money printing).

Thursday, August 18, 2011

Gold Over $1808 May Be Poised for Parabolic Rise, West Not Prepared for Possible Currency Crisis / Commodities / Gold and Silver 2011

By: GoldCore

All major currencies have fallen sharply against gold again today but especially the ‘commodity’ fiat currencies of the Australian, New Zealand and Canadian dollar. Swiss francs are also under pressure again today.

Gold is trading at 1,808 USD, 1,259.10 EUR, 1,096.40 GBP, 1,436.90 CHF and 138,510 JPY per ounce.

Thursday, August 18, 2011

The Truth About Crude Oil / Commodities / Crude Oil

By: Money_Morning

Dr. Kent Moors writes: Traditionally, demand levels would determine the overall condition of the oil market. Supply (and the investment required for that supply) would be based upon what demand told us.

Actually, oil never reflected the demand-supply relationship as well as other sectors of the market. Oil has an irritating habit of not reflecting what it should in the dynamics of market play. Until recently, petroleum economists would comment (or lament) about the demand inelasticity of oil. That means, due to the lack of available alternatives (especially in transportation), demand for oil products would not decline as the price rose.

Thursday, August 18, 2011

On the Verge of a Gold Stock Explosion / Commodities / Gold & Silver Stocks

By: Jeff_Berwick

It's probably the #1 question on gold stock investors' minds. Are we on the verge of a repeat of the 2008 wipe-out.

Just by the very fact that we have had so many subscribers ask us this question, we can almost on this evidence alone say no. Massive crashes never happen when everyone is looking for them and afraid of it.

Thursday, August 18, 2011

Reserve Currencies in Distress, Protect Yourself with Gold / Commodities / Gold and Silver 2011

By: Dr_Jeff_Lewis

Dollarization is term coined to describe the dollar’s influence as the reserve currency of choice around the globe.  In 2010, the US dollar comprised 62% of the world’s foreign exchange reserves, dubbing it a very powerful player in the world of finance.  But what about the second place reserve currency? 

Thursday, August 18, 2011

Increased Production No Threat to Silver Prices / Commodities / Gold and Silver 2011

By: Dr_Jeff_Lewis

Financial modeling is a science composed of complex “if, then” statements; this is evidenced clearly by the number of investment bankers who work 100 hour weeks toiling through Excel spreadsheets of merger and acquisition deals.

Bankers have it easier than most investors in completing modeling.  For one, institutions assume an infinite timetable, as most banks outlive the humans that staff it. Secondly, banks have the ability to operate on the premise of cash flow, which is fairly simple to understand.  If returns are larger in dollar terms than the cost to borrow, then a business can be levered.

Thursday, August 18, 2011

Chavez Sends Gold GLD ETF a Wakeup Call / Commodities / Gold and Silver 2011

By: George_Maniere

           OK. Let the fun begin! Yesterday Venezuelan President Hugo Chavez announced that planned to nationalize his countries gold mining industry in an attempt to increase its international reserves. This is not an unprecedented move. He has already nationalized the banking industry, telecommunication companies, the oil fields, the producers of power for the country and millions of acres of farm land. President Chavez said that the nationalization of the gold industry was to protect the people of Venezuela from having their gold fall into the hands of the mafia and smugglers.

Thursday, August 18, 2011

Gold Is for Fighting Deflation, Not Inflation / Commodities / Gold and Silver 2011

By: The_Gold_Report

Whether out of fear or love, everyone is running to gold, says Frank Holmes, head of investment firm U.S. Global Investors. The lengthy Congressional battle to raise the debt ceiling left many investors clinging to gold for safety. But a growing world population continues to stock up on the honeyed metal for weddings and holidays. In this exclusive interview with The Gold Report, Holmes explains where our love-hate relationship with gold is headed and how to profit.