Analysis Topic: Commodity Markets - Metals, Softs & Oils
The analysis published under this topic are as follows.Tuesday, June 16, 2015
Gold Versus The Status Quo / Commodities / Gold and Silver 2015
Gold has been a store of value for 1000s of years. You can’t purchase gasoline with gold but it has no counter-party risk and is valued world-wide.
In contrast, paper and digital dollars, euros, pounds and yen are debt based fiat currencies backed only by the faith and credit of the governments and central banks which issued them. Devaluation and higher consumer prices are all but guaranteed.
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Tuesday, June 16, 2015
Gold: Surviving The Last Few Months Of The Bear Market Part III / Commodities / Gold and Silver 2015
So I’m starting to see lots of chatter about traders preparing to back up the truck when gold reaches $1000. First off, if you believe like I do, that this was a mostly manufactured bear market by the bullion banks in order to stretch price as low as possible before the next phase of the bull market begins, then there’s no way it’s going to be that easy.
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Tuesday, June 16, 2015
New Gold Electronic Payments System Protect From “National Financial Or Currency Crisis” / Commodities / Gold and Silver 2015
- Texas creates state gold depository – bringing gold home from New York Fed
- Move to remove gold from Federal Reserve highlights distrust
- Follows repatriation moves by Germany, Netherlands, Austria and others
- Legislation will prevent Federal government from confiscating gold
- Includes provisions that may lead to return to using gold as currency in the U.S.
- New gold electronic payments system protect from “national financial or currency crisis”
- European, UK and Irish governments could learn from prudent monetary move
Tuesday, June 16, 2015
What Is The Stagnant Gold Price Telling Us? / Commodities / Gold and Silver 2015
Nicholas Kitonyi writes: Crude oil prices have risen by nearly 25% over the last three months, while the price of gold has managed just 2.5% gain during the same period. The two commodities are largely affected by the strength of the US Dollar, and some people might have been deluded to thinking that the drop in the prices of both commodities last year was as a result of a strong dollar.
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Tuesday, June 16, 2015
Gold Price Approaching An Endpoint / Commodities / Gold and Silver 2015
Apart from two mini-peaks at recent Daily Cycle (DC) tops, Gold's current Investor Cycle has traded in a narrow, horizontal range. The Investor Cycle (IC) began with 10 good trading days back in March, but has since moved sideways. If the bulls were back in control of the gold market, they would driven Gold to make much more significant gains during the early favorable IC periods (first 8 weeks). Despite being in the most favorable (early) part of the Investor Cycle, Gold failed to catch the bid necessary to move it higher, and has now entered the IC's normal period of decline. (Note: A Daily Cycle is measured in trading Days. Investor Cycle measured in weeks. See Glossary of Cycle terms)
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Tuesday, June 16, 2015
Gold HUI Lowest Weekly Close Since 2003 / Commodities / Gold and Silver 2015
Briefly: In our opinion, a speculative short position (full) in gold, silver and mining stocks is justified from the risk/reward point of view.
We have previously commented on the mining stocks' underperformance relative to gold and its bearish implications. Last week, however, we saw something even more profound. The HUI Index broke below the 2014 low in terms of the weekly closing prices and it was the lowest weekly close since 2003. Does this major sign signal the beginning of the final major slide in the precious metals sector?
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Monday, June 15, 2015
Texas Gives Wall Street Bankers the Gold Finger / Commodities / Gold and Silver 2015
Clint Siegner writes: When Governor Greg Abbott signed House Bill Number 483 in his own hand this past Friday, Texas gave Wall Street a big gold “finger” and will soon bring $1 billion in gold bars back to the Lone Star State.
The University of Texas made headlines in 2010 by adding more than $500 million in gold to their endowment. The decision to plough half a billion dollars into gold was only the first chapter of the story. Perhaps the bigger news was the choice not to simply buy shares in a gold ETF or gold futures contracts. Custodians decided to buy physical bars instead – signaling a distinct lack of faith in paper gold.
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Monday, June 15, 2015
Valuable Clues from the Oil Stocks to Crude Oil Price Ratio / Commodities / Oil Companies
In our essay on oil stocks from June 9, we focused on the connection between the XOI and the general stock market to find out what impact the S&P500 index could have on the oil stock index’s future moves. Back then, we also wrote about the relationship between the oil stocks and crude oil:
(...) The beginning of May brought a new 2015 high of $62.58 in crude oil, but we didn’t see a fresh high in case of oil stocks. In the following weeks, crude oil has been trading in a narrow range and erased less than 38.2% of earlier rally. What happened at the same time with the XOI? The index declined sharply and approached the 61.8% Fibonacci retracement in the recent days, showing its weakness in relation to light crude.
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Monday, June 15, 2015
Marc Faber Warns Financial System “Will Implode” - "Hold Precious Metals" / Commodities / Gold and Silver 2015
- “Whole Financial System Will One Day Implode” – Marc Faber
- “I feel like I’m on the Titanic …”
- Arguing over the best assets akin to re-arranging deck chairs on Titanic
- Investors need escape plan and “safety boat”
- Forget Fed rate hike, Fed QE 4 is coming
- Diversify and hold “commodities, precious metals”
Monday, June 15, 2015
Ain't No Sunshine When it’s Gone / Commodities / Gold and Silver 2015
At one time I owned shares of the Vanguard 500 index fund. It was highly recommended at the time as the simple no-brainer. Just put your money there, go back to work and don’t think about it. I was marginally satisfied, though not at peace. And that was a long time ago, when silver was like gold; a relic no one cared about or needed.
Recently I got another brush with Vanguard when uncle enthusiastically insisted read John Bogle’s “The Little Book of Common Sense Investing: The Only Way to Guarantee Your Fair Share of Stock Market Returns”.
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Monday, June 15, 2015
Gold Stocks Grueling Bear Market End is Nigh? / Commodities / Gold and Silver Stocks 2015
This report will probably be one of the most important posts I’ve made in quite some time. It will require 3 parts to fully present this scenario. I’m going to try and lay out a game plan on how this possible last impulse move down may play out in time and price. One thing I can guarantee you is that there will be no bell going off at the bottom when it finally materializes. The volatility will most likely be very extreme with huge swings back and fourth as the last of the bears sell out to the new bulls. How long that process will play out is anyone’s guess. It may take several months or longer until we see some type of reversal pattern form.
Normally after a hard move down the first bounce off of initial support will be the strongest. It’s like dropping a super ball, the first bounce will be the highest with the subsequent bounces losing steam until it finally comes to rest. These bounces will produce some type of reversal pattern that we should be able to recognize which most likely will be a double bottom or inverse H&S bottom.
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Sunday, June 14, 2015
Is Natural Gas A Good Investment Opportunity? / Commodities / Natural Gas
Anyoption writes: When it comes to investment options, everyone has their own opinion with regard to just about any option. However, there are few options in the industry that are as heavily debated as natural gas. Those who think it's a great opportunity point to the low cost, high efficiency and slow growth in comparison to crude oil as a reason that steep inclines are just around the corner. On the other hand, those that are bearish on the commodity argue that prices will be kept low, and most likely decline as the result of the massive amounts of natural gas that are available and being produced. So, which side is right? Well, both of them to an extent. Here's how I see it...Read full article... Read full article...
Saturday, June 13, 2015
Gold And Silver - Elite NWO Checkmate? US Lacks Direction / Commodities / Gold and Silver 2015
We live in a dysfunctional world.
The entire United States media, TV, radio, and print are massive purveyors of misinformation and lies. The truth is not allowed to exist, which is incredibly ironic, for when the public is told the truth, it is not believed for the truth does not reconcile with all of the media-fed lies. Truth is non-existent in politics where lies are protected by the Supreme Court, [if you did not already read it, see Barack Obama - Liar In Chief, Backed By Supreme Court].
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Saturday, June 13, 2015
The Latest Saudi Ploy to Control World Oil Prices / Commodities / Crude Oil
MoneyMorning.com Dr. Kent Moors writes: From the hundreds of oil benchmark rates used around the world, two set daily have been dominant in determining the prices for the buying and selling of crude. One is Dated Brent, set in London and representing the average price from a basket of North Sea offshore production. The other is West Texas Intermediate (WTI), the grade set in New York.
As I have noted often in Oil & Energy Investor, Brent is applied more often in international trade than WTI. However, both of these benchmarks are better oil grades than well over 80% of all the oil actually traded.
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Saturday, June 13, 2015
Gold Investing Guidebook / Commodities / Gold and Silver 2015
By Jared Dillian
“A gold mine is a hole in the ground with a bunch of liars standing next to it.”
I started investing in gold in 2005. Not a bad time, right?
Here’s why I started: I was the ETF trader at Lehman Brothers at the time. A couple of guys came by to talk about this crazy idea they had about a gold ETF. I think one was from the World Gold Council and the other was from State Street. The WGC guy brought along a 10-ounce bar of gold. At the time, it was worth almost $6,000.
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Friday, June 12, 2015
Gold Price Seasonals Bottoming / Commodities / Gold and Silver 2015
Gold remains deeply out of favor, languishing near major lows. Traders are still convinced gold is going nowhere, and want nothing to do with it. But provocatively that’s par for the course in early June, when gold slumps to its most-important seasonal low. Gold’s seasonals are now bottoming, just ahead of the usual major surges in global gold demand coming in late summer and autumn. This is a fantastic time to buy.
Seasonality describes the strong repeating tendencies of some assets’ prices to behave in certain ways at certain times throughout the calendar year. It is driven by consistent changes in supply and demand that are tied to the seasons. Wheat is a great example, as its supply fluctuates considerably based on celestial mechanics. Harvest times naturally yield big new supplies, which tend to drive down prices.
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Thursday, June 11, 2015
Gold and Silver Sentiment Stinks... And That's a Good Sign / Commodities / Gold and Silver 2015
Markets typically bottom out when popular sentiment is negative. And a recent analysis by Bloomberg confirms that the public has all but given up on precious metals. Assets in exchange-traded products tied to metals prices fell to their lowest point since 2009.
While holders of coins and other physical bullion products tend to hang tight during adverse market conditions, holders of derivate instruments are more likely to move in and out of the market – usually at the wrong times.
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Thursday, June 11, 2015
Gold and Silver Capped - The Iron Heel / Commodities / Gold and Silver 2015
"We discover that the fortunes realized by our manufacturers are no longer solely the reward of sturdy industry and enlightened foresight, but that they result from the discriminating favor of the Government and are largely built upon undue exactions from the masses of our people.
The gulf between employers and the employed is constantly widening, and classes are rapidly forming, one comprising the very rich and powerful, while in another are found the toiling poor.
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Thursday, June 11, 2015
Indian Silver Demand Explodes / Commodities / Gold and Silver 2015
- India may absorb as much as one third of total global silver production this year
- Strong demand for silver steadily increasing year by year
- Indian citizens and solar industry take advantage of current low prices in silver
- U.S. silver imports still enormous despite ostensible decline in demand
Thursday, June 11, 2015
Busting The "Canadian Bakken" Shale Oil Myth / Commodities / Crude Oil
The financial pages of Canadian newspapers have been full of headlines lately announcing the potential of two large shale oil fields in the Northwest Territories said to contain enough oil to rival the Bakken Formation of North Dakota and Montana.The report by Canada's National Energy Board (NEB) evaluated, for the first time, the volume of oil in place for the Canol and Bluefish shale formations, located in the territory's Mackenzie Plain. It found the "thick and geographically extensive" Canol formation is expected to contain 145 billion barrels of oil, while the "much thinner" Bluefish shale contains 46 billion barrels.
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