Analysis Topic: Commodity Markets - Metals, Softs & Oils
The analysis published under this topic are as follows.Saturday, July 30, 2011
Gold and Silver Beyond the Limit / Commodities / Gold and Silver 2011
Perhaps the debt ceiling should be renamed the "national debt target," for it seems Washington is always trying to reach it. One could say it's their only reliable, time-tested achievement. And without fail, upon reaching their national debt target, they promptly extend it further in order to discover how quickly it can once again be attained!
While I have little doubt that the ceiling will be raised, my readers have been curious as to the implications for gold in each of the debt and "default" scenarios possible after August 2nd. This month, I'll outline how each outcome could affect the price of gold and silver.
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Saturday, July 30, 2011
The Death of the U.S. Dollar / Commodities / Gold and Silver 2011
All fiat currencies fail, says Jay Taylor, editor of the Gold, Energy & Tech Stocks newsletter. That's why he calls gold and silver the only true currencies. While some junior mining stocks have lagged behind high-flying bullion, Taylor tells The Gold Report in this exclusive interview why they will continue to be the cornerstone of his portfolio.
The Gold Report: You recently wrote that these are not normal times. Perhaps the current macroeconomic picture is the new normal?
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Saturday, July 30, 2011
Palladium Metal Investing Primer / Commodities / Palladium
Often lost in the shuffle and the talk about gold and silver as the primary precious metals is another metal, which has uses that rival that of silver, is brilliant in appearance and makes a beautiful coin. Its value has quadrupled since 2003 after seeing an all-time high in 2001, and potentially the best aspect yet is that the supply and demand fundamentals have never been better. Guess it yet? I’m talking about palladium. Over the next several pages, we’ll take a look at the many uses for palladium, who the big producers and consumers are, prices, and most importantly, the future outlook. The purpose of this article is not to form specific recommendations, but rather to raise awareness of another of the semi-precious metals and to act as a primer for familiarizing people on its fundamentals.
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Saturday, July 30, 2011
Buzz Around Gold is Growing Louder / Commodities / Gold and Silver 2011
I outlined last week the increasingly bullish consensus among analysts about gold stocks. The same pattern exists with gold itself; growing numbers of analysts have either joined the movement or have upped their bullish outlook.
The following comments and developments have all been reported just this month. It presents quite a convincing case when one strings them together like this. Keep in mind that this is what these analysts and managers are telling their clients.
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Saturday, July 30, 2011
Coundown to U.S. Debt Default, Dollar Under Pressure, Gold Market Active / Commodities / Gold and Silver 2011
Tuesday, 3 August 1971 – Treasury secretary John Connally yesterday urged US banks not to follow the Bank of Michigan, the Financial Times reported, after the small bank raised its key lending rate from 6% to 6.5%.
Instead, US banks should look to "hold prime rate down", said Connally, adding that "Further unjustified increases in interest rates, already historically high, might well jeopardize the strength of business recovery.
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Saturday, July 30, 2011
Gold Faces Short-Term Price Trap / Commodities / Gold and Silver 2011
Although I believe gold still faces a very rosy future, an agreement in Washington that avoids default and growing concerns of a global economic slowdown could create significant near-term headwinds for gold investors.Read full article... Read full article...
Saturday, July 30, 2011
Biofuels Potential to Transform the Global Economy / Commodities / Energy Resources
Slowly but surely, an extraordinarily important new industry is slowly taking shape, with the potential to transform the global economy.After years of existing largely as an environmentalist's fantasy, commercial production of biofuels for the world civil aviation industry is slowly becoming a fact, with production starting up across three continents.
Saturday, July 30, 2011
Uranium Bull Market / Commodities / Uranium
Nuclear power has been a hot topic of recent. And as a result, the price action of its input commodity has been quite schizophrenic. Investors and speculators are in a state of great wonderment over what to expect from this intriguing mineral that is mined for energy.
Based on its core strategic fundamentals, investors ought to be wildly bullish on uranium’s future. But with a veil of uncertainty cast over it thanks to the tragic Fukushima disaster, should we be looking at the future differently? Of course only time will tell how things play out. But based on cold-hard rationality, my money is on a future where nuclear power is an indispensible part of the world’s energy infrastructure.
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Friday, July 29, 2011
Will the Debt Ceiling Debate Coincide with Short-term Ceiling for Gold and Silver? / Commodities / Gold and Silver 2011
Here are two words that Americans and the rest of the world have not paid much attention to until now: DEBT CEILING. The debt ceiling drama has been keeping Americans on the edge of their seats – and they better hold on tight as those seats could get repossessed on August 2. It’s as if American’s national credit card, member since 1776, is valid only through 08/02/11. In a nutshell, the debt ceiling is America’s legal limit on borrowing, and the country is maxed out until Congress increases it.
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Friday, July 29, 2011
Gold and Silver Unaffected by Debt Crisis / Commodities / Gold and Silver 2011
With the silver price riveted to the gold price, what happens to gold, applies to silver.
Right now the markets are really starting to wind up over the debt ceiling confrontations. The weekend of U.S. political strife is on the world. It is so easy for the markets and commentators to lead us to believe that the gold and silver prices are rising because of this, but we emphasize that they are not!
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Friday, July 29, 2011
Are Gold and Silver Support and Resistance Levels Holding? / Commodities / Gold and Silver 2011
As I write this, the great debt debacle continues. The House vote on the GOP debt plan, scheduled to take place Thursday night, has been delayed. The markets finally seem to be pricing in the financial mess in Washington, as the S&P 500 (NYSE:SPY) fell 2% on Wednesday, and also closed lower on Thursday. Surprisingly, gold (NYSE:GLD) and silver (NYSE:SLV) have been declining this week as well.
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Friday, July 29, 2011
Are You Brave Enough to Invest in Cotton? / Commodities / Commodities Trading
Although Barclays Capital (NYSE:BCS) released a report recently that inflows into commodity markets fell sharply as the first half of 2011 ended, commodities in general have shown strength. However, cotton has fallen far from its 2011 peak. Shares in The iPath DJ UBS Cotton ETN (NYSE:BAL) now trades around $64, after reaching a 52-week of $117.33 in March of this year. Can cotton rebound from these levels?
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Friday, July 29, 2011
Gold $8,500 Now Possible, IMF Warns American on “Exorbitant Privilege” / Commodities / Gold and Silver 2011
Gold is trading at USD 1,615.20, EUR 1,132.70, GBP 991.92 and CHF 1,293.10 per ounce. Gold’s London AM Fix was USD 1613.75, EUR 1129.76, GBP 991.67 (10:41 GMT). Gold is set to finish a turbulent July higher showing its safe haven attributes again. Gold is higher in all fiat currencies month to date and is 7.6% higher in U.S. dollars.
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Friday, July 29, 2011
Gold Rallies, "Credibility Downgrade" Hits "Irresponsible" Washington / Commodities / Gold and Silver 2011
THE U.S. DOLLAR gold price climbed to $1617 an ounce Friday morning London time – 0.7% off Wednesday's all-time high – as stocks and commodities fell following the decision to cancel a vote on proposals to cut the US deficit.
Heading into the weekend, the gold price was looking at a 1% weekly gain by Friday lunchtime.
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Friday, July 29, 2011
Gold Top Devil’s Advocate / Commodities / Gold and Silver 2011
The persistent and mindless bullishness on gold lately has got me nervous. When I get nervous the first thing I do is pull up a multi-year chart and look at the big picture.
A couple of things are apparent when one looks at the chart below. First as I've noted many times in the past gold has a tendency to move above a big round number before topping. It did it at $1025, $1225, $1432, and gold recently tagged $1630.
Friday, July 29, 2011
Bayonets and Gold / Commodities / Gold and Silver 2011
The history of fiat money has always been one of failure - every fiat currency since the Romans started diluting the silver content of their denarius has ended in devaluation and eventual collapse of both the currency and of that particular economy. Most paper money economies downfall can be linked to the costs of financing out of control military growth and its wars.
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Thursday, July 28, 2011
Gold Choppy, US Reaching End of Empire, Investors Have No Safe Havens Left / Commodities / Gold and Silver 2011
THE PRICE to buy gold in US Dollars oscillated Thursday morning London time – soaring to just under $1620 an ounce before easing back – while stocks fell and commodities were mixed as Washington prepared for a postponed debt ceiling vote.
On Wednesday gold price set a new intraday high in Dollar terms of $1628 per ounce in New York trade – a jump of 1.75% from last Friday's close.
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Thursday, July 28, 2011
Gold Near Record USD and EUR High – Eurozone Debt and U.S. Default Risks Global Financial Contagion / Commodities / Gold and Silver 2011
Gold is marginally higher against most currencies today and is trading at USD 1,614.40, EUR 1,130.50, GBP 990.08 and CHF 1,294.50 per ounce. Gold is flat against the dollar but remains just less than 1% from the record nominal high reached yesterday ($1,628.05/oz). The euro is under pressure again today and gold is 0.7% higher against the euro and is just less than 1.5% away from the record euro high of EUR 1,144.80/oz reached last Monday.
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Thursday, July 28, 2011
Gold and Silver Inter-metal Dynamics / Commodities / Gold and Silver 2011
As risk currencies become quickly overcrowded and range-bound equity indices remain the territory of traders rather than investors, silver once again appears as the notable gainer, characterised by richly similar fundamentals to gold. The only thing is that silver is trading 20% below its record high.
Here are 3 general reasons to our renewed preference for silver...
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Thursday, July 28, 2011
Another Testament to Gold’s Long-Term Value / Commodities / Gold and Silver 2011
Recently a news item was brought to my attention which underscores the long-term significance of gold as an investment. A 500-year-old treasure has been discovered in a Hindu temple with approximately $20 billion. The treasure consists mainly of gold and precious stones. Below is an excerpt from a newspaper describing the treasure:
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