Analysis Topic: Commodity Markets - Metals, Softs & Oils
The analysis published under this topic are as follows.Wednesday, January 28, 2009
The Wrong Way to Profit From Crude Oil / Commodities / Crude Oil
You might think you're properly invested in oil, but you could be wrong.
Despite reaching lows since 2004, the long-term outlook for oil is still up. Maybe not $147 a barrel like the old days (i.e. six months ago), but because of supply, demand, turmoil in the Middle East, and the fact that we will eventually resume worldwide economic growth, oil prices have only one way to go.
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Wednesday, January 28, 2009
Gold Bounces as Bundesbank "Not the Time to Sell" the Ultimate Safe Haven / Commodities / Gold & Silver 2009
THE PRICE OF WHOLESALE SPOT BULLION bounced from an early 2% drop in London on Wednesday, picking up to $889 per ounce after the German Bundesbank denied rumors it was selling bullion to help fund the federal government's new €50 billion economic stimulus package.The US Dollar also fell, slipping to $1.33 per Euro and $1.43 per British Pound and helping knock the Gold Price in Euros and Sterling to €666 and £620 per ounce respectively – more than a 5% discount to the all-time record highs hit on Monday.
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Wednesday, January 28, 2009
German Central Bank Holds onto Gold on Memories of Weimar Hyperinflation / Commodities / Gold & Silver 2009
Gold traded sideways in Asia overnight but has fallen in early European trading. Increasing risk appetite has seen equities rally again and this is likely leading to profit taking in the gold market. With gold having increased by some $100, more than 12% in less than 10 trading days and some will be taking profits.Read full article... Read full article...
Wednesday, January 28, 2009
Rising Oil Price Trend Supports Agri-food Bull Market During 2009 / Commodities / Agricultural Commodities
A perhaps amazing characteristic of trends is that they do not continue indefinitely. One can not help also noticing the inability of journalists to correctly describe trends as they are developing. While they, and we suspect their editors, spend considerable time on grammar, they still seem to have problems with the proper tense for verbs. The difference between falling and has fallen may seem trivial to journalists, but to the analysts they are considerably different.Read full article... Read full article...
Tuesday, January 27, 2009
Brent Cook on Junior Minors Upside Potential / Commodities / Metals & Mining
Turning Rocks Into Money - Geologist Brent Cook, editor of Exploration Insights newsletter, has earned a reputation for recognizing which juniors have the best chance of beating the odds and where rocks have the greatest potential for producing profit. In this exclusive interview The Gold Report, Brent shares some of his insights about which juniors have upside potential in this volatile market. Brent has examined properties in more than 60 countries and learned the investment side of the business from master Rick Rule.Read full article... Read full article...
Tuesday, January 27, 2009
Further Confirmation of Crude Oil Depletion / Commodities / Crude Oil
Of all the very large companies in the oil business, one has to particularly admire the business strategy of Schlumberger. This company is the world's leading supplier of technology, integrated project management and information solutions to customers working in the oil and gas industry. Employing more than 87,000 people in approximately 80 countries, Schlumberger attempts to work with the national governments that actually own the world's oil resources on a cooperative basis. This non-competitive, cooperative, strategy brought Schlumberger revenues of $27.16 billion in 2008.Read full article... Read full article...
Tuesday, January 27, 2009
Gold Price Manipulation Further Forensic Examination / Commodities / Market Regulation
Borrowing from the axiom that, “a picture is worth a thousand words,” today we are going to view the incredulity of recent macro-economic events with the aid of charts and graphs. First up is a chart of the price of gold [POG] over the past year with a few “milestones” pasted in for good measure:Read full article... Read full article...
Tuesday, January 27, 2009
Silver Lags Gold Amidst Deflationary Outlook / Commodities / Gold & Silver 2009
Silver continues to lag behind gold as the two metals in general struggle against this deflationary setting. Gold has benefitted from some of the fears regarding the stability of the credit and banking system but not enough to propel it to new highs.Read full article... Read full article...
Tuesday, January 27, 2009
Gold Continues to Surge in All Currencies on Systemic Financial Counterparty Risks / Commodities / Gold & Silver 2009
After last week’s strong gains, gold continued to surge in all currencies yesterday reaching new record highs in Euros and pounds sterling. Prices remained firm in early trading in Asia prior to giving up some of yesterday’s gains. But the convincing technical close well above previous resistance should see gold (and silver) soon embark on the next leg up in their secular bull markets.Read full article... Read full article...
Tuesday, January 27, 2009
Global Money Supply and the Value of Gold / Commodities / Money Supply
Mike Hewitt and Krassimir Petrov writes: Introduction - In this essay we attempt to estimate global money supply and relate it to global supply of gold. For the global money supply, we use money supply figures for currency in circulation from 86 selected currencies, from 81 independent countries and five monetary unions. For the global supply of gold, we use data from the World Gold Council (WGC). Finally, we attempt to interpret the price of gold as a relationship between global money supply and global gold supply.Read full article... Read full article...
Monday, January 26, 2009
One of Two Scenarios for Gold and Stocks is Developing / Commodities / Gold & Silver 2009
It appears that one of two scenarios is developing. Scenario A, "the meltdown scenario" means that we are in the thick of things now. This would actually be preferable to Scenario B, "the reflation scenario", which would result in an even greater meltdown after a significant "tradable bounce". Rarely does one day of trading reveal much, but Friday's trading was spectacular.Read full article... Read full article...
Monday, January 26, 2009
Reuters Gold Forecast Poll 2009: Gold Expected to Outperform Other Asset Classes / Commodities / Gold & Silver 2009
Reuters Precious Metals Poll 2009Reuters has released their Reuters Precious Metals Poll 2009 in which Gold and Silver Investments Limited has taken part. The survey of 56 precious metals analysts, traders and banks was carried out over the last three weeks. The Reuters poll finds that “gold prices are expected to hold firm this year as investors, looking for safety away from the mayhem in financial markets, pile into the precious metal used as a store of value.” The poll found however that “industrial precious metals prices will behave differently this year, reliant as they are on real economy demand.”
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Monday, January 26, 2009
Where is Crude Oil and USO ETF Going Next? / Commodities / Crude Oil
Ever since the bubble burst in Oil last Summer, OPEC has been feverishly cutting production levels. At this point, OPEC has a goal of cutting 2.2 million barrel a day for this month. However, while the downtrend in prices has slowed, why has the price not rebounded, as some might expect? Part of the reason is that the economic forecast for 2009 is still grim. The reasoning is that if the world continues to be stuck in a recession for a greater remainder of 2009, the desire or need for crude oil will decrease. Businesses will use less resources and consumers will spend less.Read full article... Read full article...
Monday, January 26, 2009
Gold New All Time Highs on Frantic Save-haven Demand / Commodities / Gold & Silver 2009
THE SPOT PRICE OF PHYSICAL GOLD remained volatile in London on Monday morning, reaching new all-time highs for UK and Euro investors but retreating from new 15-week highs against the US Dollar.
Trading at $900 per ounce, Spot Gold began the week almost 9% above last Monday's New York opening after breaking out of its 10-month downtrend vs. the US Dollar late on Friday.
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Monday, January 26, 2009
Gold Consolidates Strong Gains Above $900 / Commodities / Gold & Silver 2009
Gold has consolidated on the strong gains seen last week of 6.43% rise in the week (silver +6.6%). Gold fell initially in Asia to $890/oz before rising sharply in early trading in Europe to over $907/oz. Much of the technical damage done in recent weeks has been overcome and gold is again looking bullish from a technical and fundamental viewpoint. But gold needs a daily or better a weekly close above the recent October high of $925/oz if it is to again surpass last year’s record high of over $1,000/oz.Read full article... Read full article...
Monday, January 26, 2009
Silver Breakout Targeting $14 Resistance / Commodities / Gold & Silver 2009
Silver`s break higher on Friday was an important positive technical development that has cleared the way for a rapid advance towards the resistance in the $14 area. This move negated the potential small Head-and-Shoulders top pattern that appeared to be forming and makes clear that the trading range that had developed following the breakout from the severe downtrend early in December was a zone of consolidation.Read full article... Read full article...
Monday, January 26, 2009
Gold Positioning Breakout to New Highs on Weakening U.S. Dollar / Commodities / Gold & Silver 2009
Gold is now in position to break out to new dollar highs and embark on a very powerful run. It is not its action on Friday which gives rise to this positive view, although that was certainly impressive enough, but the extremely bearish action in the dollar last week, which suggests that it is on the verge of a breakdown and savage decline.Read full article... Read full article...
Sunday, January 25, 2009
Crude Oil Buy Signal Developing / Commodities / Crude Oil
Crude Oil, The Picture Perfect Chart - Crude Oil is something that I think has huge potential because of its prolonged down trend without any real bounces and also because there is so much interest from traders and investors around the world who want to catch its bounce. The weekly chart is starting to look amazing and the daily chart looks ready to pop.Read full article... Read full article...
Saturday, January 24, 2009
Gold Trending Higher, Gold Stocks Soaring Through the Roof / Commodities / Gold & Silver 2009
Since making its low last October gold has been making higher highs and higher lows. Friday took gold into new high territory since that October low point. It still has some hurdles to go through but let's see where this takes us.
GOLD : LONG TERM - First, there is that very long term chart shown last week. With this past week's action the price of gold is getting closer and closer to the point when this chart will turn back into the very long term bullish camp, but not quite yet. The gold price would have to close this coming week at or above the $928 level before the moving average will turn to the up side. Should that occur, the price would have to keep climbing for the following 5 weeks and make it into new high territory to keep that bullish rating intact? Otherwise we could have a few weeks when this rating could be in for some whip-saws.
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Saturday, January 24, 2009
How Low Can Crude Oil Go? / Commodities / Crude Oil
Sean Brodrick writes: Just a year ago, many people, including me, were bracing for much higher oil prices, and making some good money on energy trades, too. Now, we are seven months into the steepest decline the oil market has ever seen!
Are we near a bottom?
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