Analysis Topic: Commodity Markets - Metals, Softs & Oils
The analysis published under this topic are as follows.Friday, November 07, 2008
Crude Oil Crashes to New Lows, Where is the Bottom? / Commodities / Crude Oil
I'm sure as a trader you've heard the expression, the "trend is your friend." That was never more true than today as crude oil (NYMEX_CL) crashed to new lows and the stock market resumed its downward trend.Read full article... Read full article...
Friday, November 07, 2008
Investors "Accumulating Gold" as Recession Hits / Commodities / Gold & Silver
SPOT GOLD PRICES held steady again early Friday, recording an AM Gold Fix in London of $745 an ounce and standing 1.5%, 3.6% and 0.7% higher from the end of last week against the Dollar, Sterling and Euros respectively."We are now at a lower range," said William Kwan, head of bullion trading at Gold Capital Management in Singapore, to Reuters earlier.
Read full article... Read full article...
Friday, November 07, 2008
Commodities Supply Destruction / Commodities / Metals & Mining
[ Editor's note : The following article was sent to subscribers in September. The intent was to remind readers what to look for in the various metals sectors in terms of supply going forward. Balance will return to the market not just from eventual demand increases but also (and perhaps mainly) from supply cut backs. We chose zinc to focus on as it has the largest percentage of uneconomic operations at current prices. For reasons we go into in the article, we expect a quicker supply response then in past cycles.Read full article... Read full article...
Friday, November 07, 2008
Is Gold Decoupling from Crashing Stock and Commodity Markets? / Commodities / Gold & Silver
Gold continues to consolidate between $700/oz and $760/oz and looks set to rechallenge $800/oz in the coming days as safe haven buying reemerges on continuing concerns regarding the global financial system and economy.Gold was down marginally yesterday (some 1%). It surged after the Bank of England's massive interest rate cut of 150 bps but more counterintuitive trading was seen as gold was aggressively sold by US investment banks on the COMEX who did not appear to want to see gold surging above $760/oz and aggressively defended this position.
Read full article... Read full article...
Friday, November 07, 2008
Rick Rule on Commodities: Be Prudent, Study Hard, and Take Advantage of Volatility / Commodities / Resources Investing
Investor Rick Rule, founder of Global Resource Investments, is legendary in the mining, energy, and exploration business. In this edited transcript from a presentation for clients, Rule shares his thoughts on the current situation. Rick founded GRI in the late 1970s, in middle of a commodities price boom, and led it though the subsequent recession of the early 1980s and all the economic ups and downs since then. The excerpt below, edited for length and clarity, focuses on his outlook for commodities.
. . . I expect the outlook for commodities to be good relative to other sectors, and I think in certain instances. . we're going to see this year. . .some extraordinary opportunities.
Read full article... Read full article...
Thursday, November 06, 2008
Gold Steady as UK Slashes Interest Rates to 57-Year Low / Commodities / Gold & Silver
THE SPOT MARKET PRICE of Gold held steady in London on Thursday morning, trading just shy of $745 per ounce as world stock markets sank to a one-week low and UK interest rates were slashed to their cheapest level in more than five decades."The bears are back in full control," says Walter de Wet at Standard Bank in Johannesburg, "after bulls across the globe realized that current economic problems cannot be voted away.
Read full article... Read full article...
Thursday, November 06, 2008
Gold Retraces Following Post Election Profit Taking / Commodities / Gold & Silver
Gold gave up some of the Election Day gains yesterday on profit taking due to sharply lower oil (WTI $Dec down $5.23 to $65.30) and commodity prices ( the CRB Commodities Index fell 10.25 to 267.97) on fears of significant demand destruction due to a protracted global recession. Silver was the exception and was more robust and continued to rise after the previous day's sharp gains.Read full article... Read full article...
Wednesday, November 05, 2008
Gold Choppy as Investors Review the Obama Bounce / Commodities / Gold & Silver
THE PRICE OF GOLD slipped back from an overnight high of $769 per ounce in London on Wednesday, while European stock markets reversed one-third of Tuesday's "Obama Bounce" after the president-elect's US landslide was confirmed.The UK's FTSE100 index lost 1.3% on new data showing the manufacturing sector suffering its worst contraction since 1980.
Read full article... Read full article...
Wednesday, November 05, 2008
Brien Lundin: Is Gold Holding a Wild Card? / Commodities / Gold & Silver
As difficult as it may be for precious metals investors to sit on their hands, that may be the best “action” for surviving this hazardous transition from deflationary to inflationary times. In this exclusive interview with The Gold Report, Gold Newsletter Editor Brien Lundin explains why it is absolutely inevitable that inflation will trigger a rise in gold and hints that a December “surprise” could end the waiting game. While his advice is to let this round of deleveraging and deflation end before making any serious plays, he names a few bargains that stand out even in a downturn.Read full article... Read full article...
Wednesday, November 05, 2008
President Obama Inherits Great Challenge akin to Carter and Roosevelt / Commodities / Gold & Silver
Gold and silver both surged some 4% yesterday from oversold levels as the dollar weakened and oil surged. We said some weeks ago that the recent sell off in precious metals was likely to end around election day and believe that this has indeed happened and that gold will resume its secular bull market in the coming weeks. Important elections often see markets reverse course and witness trend reversals and this is one of the most momentous election victories in US history.Read full article... Read full article...
Tuesday, November 04, 2008
Crude Oil Turns Bullish / Commodities / Crude Oil
Let's notice the rounded bottom in the U.S. Oil Fund ETF (AMEX: USO), carved out since Oct 21, and though it represents a relatively minor base pattern, it should propel the USO into the 60.00-62.00 area in the upcoming days. Only a sudden downside reversal and plunge beneath 52.00 will wreck the developing pattern.Read full article... Read full article...
Tuesday, November 04, 2008
Commodities, Slowing Economies= Lower Prices / Commodities / CRB Index
KEY POINTS:• Cooling global economies chilling growth prospects for commodity prices until 2010
• Oil remains pinned under $100 over next 18 to 24 months. Downside target revised to $50 to $63 by business-cycle finish
• Downward pressure holds in November for gold, as global funds run to U.S. dollar treasuries; price target lowered
• Natural gas seasonal strength; still waiting for advance. Lowering target
Read full article... Read full article...
Tuesday, November 04, 2008
Gold Jumps as America Votes / Commodities / Gold & Silver
THE PRICE OF GOLD jumped into the Wall Street opening on Tuesday, adding to an overnight rally and touching a 5-session high of $745 an ounce as European stock markets rose for the seventh-day running.The US Dollar slipped back ahead of today's presidential election, losing 2.5¢ to the Euro and reversing half of Monday's gains vs. the Pound Sterling.
Read full article... Read full article...
Tuesday, November 04, 2008
Gold Holds Steady Amidst Continuing Deflationary Pressures / Commodities / Gold & Silver
Gold was up marginally yesterday despite further strength in the dollar and a further sharp fall in the oil price. Deflationary pressures continue to be prevalent and central banks internationally continue to aggressively cut interest rates in an effort to stimulate credit growth and inflate their way out of a possible Depression.Read full article... Read full article...
Tuesday, November 04, 2008
Governments Attempting to Rule Over Bankers / Commodities / Credit Crisis Bailouts
The events of the last two weeks have presented enormous ‘moral' hazards for governments and the banking industry. When we call them moral hazards we are not talking about biblical morality, but the principles behind government [Democracy] and banking [Profit and Prudence].Read full article... Read full article...
Tuesday, November 04, 2008
Gold and Silver Mining Stocks Time to Buy? / Commodities / Gold & Silver Stocks
PERFORMANCE: ONE MONTH / TWELVE MONTHS
% CHANGE | PRICE OCT. 31 | 1 MONTH | 12 MONTHS |
THE TIMELESS PRECIOUS METAL FUND (EUR) | 3.58 | -40.5% | -77.6% |
THE TIMELESS PRECIOUS METAL FUND (USD) | 4.57 | -46.6% | -80.2% |
GOLD | 723.20 | -16.6% | -8.4% |
SILVER | 9.81 | -18.3% | -31.5% |
PLATINUM | 824.00 | -18.4% | +43.0% |
PALLADIUM | 199.00 | -0.2% | -46.6% |
GOLD & SILVER INDEX - PHILADELPHIA ($XAU) | 81.08 | -38.2% | -56.2% |
AMEX GOLD BUGS INDEX ($HUI) | 193.87 | -38.3% | -54.8% |
GOLD MINERS INDEX - AMEX ($GDM) | 574.84 | -38.6% | -57.5 % |
Monday, November 03, 2008
Gold Mining Stocks Base Building / Commodities / Gold & Silver Stocks
My near-term pattern and momentum work in the Market Vectors Gold Miners ETF (AMEX: GDX) suggests strongly that the gold miners ETF has some unfinished business on the upside prior to the completion of the upleg off of the 10/24 low at 15.83. At this juncture, I am expecting a pop to the upside out of the 3-day sideways congestion area into new recovery high ground, which projects into the 23.50-24.50 target zone, after which I will be looking for a significant pullback to set up a much more potent buying opportunity.Read full article... Read full article...
Monday, November 03, 2008
Gold Rally Stalls Despite Bail-Outs Sparking Huge Monetary Inflation / Commodities / Gold & Silver
THE PRICE OF GOLD rose 2% early Monday, briefly touching $739 an ounce before slipping back as world stock markets continued to struggle after suffering their worst month in 21 years.Crude oil slipped again, while the US Dollar and Japanese Yen held steady on the currency markets after October's record surge, when "all the trades that worked well for the past five years went badly very quickly," as one Citigroup strategist put it to Reuters this morning.
Read full article... Read full article...
Monday, November 03, 2008
Gold Near Low as Massive Physical Demand Continues / Commodities / Gold & Silver
Gold and silver have risen in Asian and early trading in Europe today. Last week saw gold fall some 1.4% while silver rose 4.9%. The performance of the precious metal mining shares may be an indication that we are at or near a low in this sell off as the HUI and XAU mining indices were up sharply last week - up 14.4% and 14.95% respectively. They tend to be a leading indicator of a trend reversal in the precious metals.Read full article... Read full article...
Sunday, November 02, 2008
U.S. Money Supply Growth to Lead to Higher Inflation and Gold Price / Commodities / Money Supply
In the past few weeks, U.S. Federal Reserve has joined with U.S. Treasury in an attempt to remedy the financial fiasco. In that effort, the Federal Reserve's balance sheet has ballooned by more than 50%. Never in peace time history has the central bank for the world's reserve currency so intentionally implement policies that will destroy the value of that reserve currency .Read full article... Read full article...