Analysis Topic: Commodity Markets - Metals, Softs & Oils

The analysis published under this topic are as follows.

Friday, April 22, 2011

What's Behind the Crude Oil Spike to $112 and Why There's More to Come / Commodities / Crude Oil

By: Money_Morning

Kent Moors, Ph.D. writes: Crude oil prices rose for the third straight day yesterday (Thursday) - with more of the same to come.

West Texas Intermediate (WTI) crude for June delivery rose to $111.50 a barrel on the New York Mercantile Exchange, and traded as high as $112.48, the highest intraday price since April 11. Crude prices are up by a full third so far this year.

Friday, April 22, 2011

Metals Market Equations Are No Longer Simple / Commodities / Metals & Mining

By: HRA_Advisory

World events continue to signal support for hard assets, but caution is still advised. News in the copper space is as much about consolidation of the players as the metal itself right now. The $7 bid by China Minmetals for Equinox Minerals (EQN-T, ASX) has offered some support for other mid tier copper assets. The Minmetals bid requires EQN to drop its own bid for Lundin Mining (LUN-T, LUNMF-Q) that had already squelched the planned merger of LUN with Inmet Mining (INM-T, IEMMF-Q). EQN had already merged with an Australian junior to acquire its Saudi copper mine development that is to begin out put late this year. To this has just been added a take-over bid by Capstone Mining (CS-T, CSFFF-Q) for Far West (FWM-T, FWMLF-Q) and its copper-iron project in Chile, with an assist from state owned Korea Resources Corp. Small and mid tier copper producers are focused on securing growth assets of the right scale as Asia gets more aggressive in ensuring supplies for its markets.

Friday, April 22, 2011

Silver Set to Soar as Fiat Paper Currencies Fold / Commodities / Gold and Silver 2011

By: John_Browne

As a result of active "demonetization" efforts by the IMF and its member central banks, gold and silver have experienced the type of volatility that has given conservative investors reasons not to perceive the metals as dependable cash alternatives. Instead gold and silver have become known as the asset class to hold as a hedge against inflation.

Friday, April 22, 2011

Debunking the Anti Gold Investing Propaganda / Commodities / Gold and Silver 2011

By: Casey_Research

A meme is now circulating that gold is in a bubble and that it's time for the wise investor to sell. To me, that’s a ridiculous notion. Certainly a premature one.

It pays to remain as objective as you can be when analyzing any investment. People have a tendency to fall in love with an asset class, usually because it’s treated them so well. We saw that happen, most recently, with Internet stocks in the late ‘90s and houses up to 2007. Investment bubbles are driven primarily by emotion, although there's always some rationale for the emotion to latch on to. Perversely, when it comes to investing, reason is recruited mainly to provide cover for passion and preconception.

Friday, April 22, 2011

Bullish on Unconventional Crude Oil Investment Plays / Commodities / Oil Companies

By: The_Energy_Report

Pain at the pump for consumers is windfall time for E&P companies. When the low-hanging fruit of old oil and gas fields is exhausted, companies are incentivized to move to new and different regions where the potential reward profile might justify the inherent risk of difficult or unexplored environs and potential political upheaval. In this exclusive interview with The Energy Report, Pathfinder Asset Management Associate Portfolio Manager Taylor MacDonald tells investors where he's finding new ways to play growing energy demand.

Friday, April 22, 2011

Playing the Move in Natural Gas / Commodities / Natural Gas

By: Mike_Paulenoff

A review of natural gas futures shows the chart pattern exploded above 4.20-4.25 resistance. The iPath Dow Jones UBS Natural Gas (GAZ), however, has not followed the same path.

GAZ has stalled, perhaps owing to its premium price 3-4 weeks ago in its relationship to underlying natural gas prices. Meanwhile, natural gas prices have played catch-up, perhaps moving the GAZ-U.S. Natural Gas ETF (UNG) underlying natural gas price relationship more into line.

Friday, April 22, 2011

Gold and Silver, What’s Driving Their Prices Higher? / Commodities / Gold and Silver 2011

By: Submissions

Ian R. Campbell writes: Gold and Silver continued making headline news yesterday and this morning, with everyone reading this likely being well aware that both breached, and so far have held above U.S.$1,500 and U.S.$45 respectively.  At 11:30 a.m. ET this morning they trading at U.S.$1,504.14 and U.S.$46.02.  To put these two prices in context, on January 1, only 80 calendar days ago:

Friday, April 22, 2011

What's Different About $1500 Gold? / Commodities / Gold and Silver 2011

By: Adrian_Ash

The golden constant stands out amidst the US Dollar's latest plunge...

So what's different about gold at $1500 per ounce...?

Thursday, April 21, 2011

Gold and Silver: Supreme Safe Haven Assets / Commodities / Gold and Silver 2011

By: Jeb_Handwerger

Silver (iShares Silver Trust (SLV)) hit the ball out of the park yesterday as it hit a record high exceeding my late January target of $40. Silver has doubled in the past seven months alone. Poor man's gold is making some poor men rich as the US dollar (PowerShares DB US Dollar Index Bullish (UUP)) and long term US debt (iShares Barclays 20+ Year Treas Bond (TLT)) remain under pressure.

Thursday, April 21, 2011

Shift to Physical Accelerates as Gold, Silver Adds 7.7% for the Week / Commodities / Gold and Silver 2011

By: Adrian_Ash

THE WHOLESALE PRICE of gold broke fresh US Dollar highs ahead of the long Easter weekend in London on Thursday, but fell against all other major currencies, unwinding this week's sharp gains entirely for Euro buyers.

The price of gold in British Pounds slipped 1.4% from yesterday's new all-time highs.

Thursday, April 21, 2011

Silver Breaks Above $46 on Short Squeeze Rumour / Commodities / Gold and Silver 2011

By: GoldCore

Gold and silver have surged to new record nominal highs in dollar terms (all time and 31-year) with the dollar falling sharply on international markets. Silver has continued to surge in all currencies and has surged to a new record nominal high of $46.25/oz (£27.85/oz and £31.54/oz) on growing rumours of a short squeeze involving a billionaire or state interest attempting to corner the silver market (see FT news story below).

Thursday, April 21, 2011

Gold Tops $1,500 in Flight to Quality / Commodities / Gold and Silver 2011

By: Mike_Shedlock

The New York Times reports Gold Tops $1,500 an Ounce in 'Flight to Quality'

The list of factors that have supported the price of precious metals in recent weeks is long. It includes worries about the sustainability of European debt levels — and whether countries like Greece will soon default; the threat of a possible downgrade of U.S. credit ratings amid an impasse over raising the debt limit and dealing with the budget deficit; the weaker dollar; rising inflation in many parts of the world and continued unrest in North Africa and the Middle East, which has pushed up oil prices.

Thursday, April 21, 2011

Oil Services Stocks Correction Due? / Commodities / Oil Companies

By: Dian_L_Chu

Michael Tarsala writes: Oil services stocks are seeing downside earnings revisions and bearish options bets ahead of earnings, and could be in danger of losing their price uptrend, according to a Thomson Reuters technical signal.

The options positioning suggest there’s a lot less optimism for services versus drillers and refiners, and less hope they’ll have another blockbuster quarter.

Thursday, April 21, 2011

What Does $1,500 Gold Really Mean? / Commodities / Gold and Silver 2011

By: The_Gold_Report

When the price of Comex gold futures kissed a record high $1,500/oz. Tuesday before settling back to the high $1,400s at day's end, and then topped the benchmark in early trading Wednesday, the smack sounded a lot like "I told you so." The Gold Report's expert contributors explain what this milestone means for investors going forward.

Thursday, April 21, 2011

Rare Earth Element Stock Insights / Commodities / Metals & Mining

By: The_Gold_Report

U.S. investors and institutions are seeing green in their rare earth elements (REEs) and strategic metals investments, and one investment bank is leading the way. Merriman Capital Services Group Managing Director Spencer Grimes shares his secret to investing in the right cleantech companies in this exclusive interview with The Gold Report.

Thursday, April 21, 2011

Gold Inflation Hedge? / Commodities / Gold and Silver 2011

By: Submissions

Ian R. Campbell writes: A recent article asks (and I think answers) the question “Is Gold Really An Inflation Hedge?” - reading time 3 minutes.  The article includes charts comparing the price of physical gold with year/year U.S. inflation, with University of Michigan U.S. inflation expectations, and with the U.S. Federal Reserve Balance Sheet.  The article concludes that the evidence shows the gold price increase of the past 11 years (gold breached U.S.$1,500 this morning for the first time, trading at just under U.S.$1,505 as I write this at 7:00 a.m. ET) can’t be attributed solely to inflation, and says “It is key to understand that the exposure you obtain from buying/selling gold is not exclusively linked to the inflation rate”, and that “the fundamental reason gold has value is that it is an alternative to paper currency, and what makes gold attractive to hold vs. a paper currency is what it yields on a real basis”. 

Wednesday, April 20, 2011

Silver Wheaton Starting to Accelerate / Commodities / Gold & Silver Stocks

By: Mike_Paulenoff

Yesterday we noted to subscribers that Silver Wheaton (SLW) has climbed above its April down trendline at 42.20 and is starting to accelerate to the upside toward our optimal next target of 43.60/85.

Wednesday, April 20, 2011

Gold Breaks $1500, Silver Hits 8th Record in 13 Days / Commodities / Gold and Silver 2011

By: Adrian_Ash

THE PRICE OF WHOLESALE gold bullion jumped above $1500 per ounce in London on Wednesday, setting new Dollar and Sterling highs but falling sharply against the Euro as the single currency rose to its highest level since 2009.

World stock markets surged almost 2% on average, as news of stronger-than-expected US corporate earnings came alongside a fresh rumor of Greek-debt "restructuring" from a German official.

Wednesday, April 20, 2011

Gold New $1,500/oz Record Nominal High, Targets Inflation Adjusted High of $2,400/oz / Commodities / Gold and Silver 2011

By: GoldCore

Gold has breached the $1500/oz level and reached new record nominal highs at $1,505.65/oz. Since yesterday it has gradually risen in all currencies and is approaching record nominal highs in all major currencies. Gold has risen to EUR1,037/oz, GBP920/oz, AUD1,412/oz, CHF1,344/oz and JPY124,640/oz, and is now not far from recent record nominal highs of EUR1,054/oz, GBP922/oz, AUD1,440/oz, CHF1,349/oz and JPY126,000.

Wednesday, April 20, 2011

A Trillion Reasons to Bet on Liquid Natural Gas / Commodities / Natural Gas

By: Money_Morning

Peter Krauth writes: If you think oil prices are too high now - at $100 a barrel - it's time to adjust your thinking.

Truth be told, I don't think we'll see sub-$100-a-barrel oil ever again.