Analysis Topic: Commodity Markets - Metals, Softs & Oils
The analysis published under this topic are as follows.Monday, October 27, 2008
Gold Price Performance During Recessions / Commodities / Gold & Silver
Someone recently wrote in a dismissive, almost pompous, tone something to the effect of, "Everyone knows gold doesn't do well in recessions". But, is that true? Well, it depends...Read full article... Read full article...
Monday, October 27, 2008
Gold Remains Safe Haven Amid Global Currency & Stock-Market Crash / Commodities / Gold & Silver
THE SPOT PRICE OF GOLD BULLION sank and then bounced hard vs. the Dollar early Monday, whipping violently against all major currencies as world stock markets added to this year's 40% losses to date."While [the crucial Indian festival of] Diwali is just one day away in India," notes precious-metals dealer Mitsui in London today, "it is important to note that physical demand is strong globally, and this may help to support the Gold market at these levels.
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Monday, October 27, 2008
When Gold Will Bottom? / Commodities / Gold & Silver
In short, gold will bottom when stocks bottom and the dollar bounce falters - unless fund managers run out of gold to sell before either of the other two events occur (or unless global investors suddenly come to their senses. Good luck on that one!)
In times like these, anyone would be crazy to predict an actual time when COMEX gold will reverse itself and start rising again, and you'd be crazy to believe it if someone did. At this point, nobody can say it will be tomorrow, or next week, or whatever. On the other hand, it is indeed possible to offer some common sense, bedrock parameters that will tell you that the bottom is in for our favorite derivative to start coming back from the road kill category.
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Monday, October 27, 2008
Bear Market Deleveraging Producing Incredible Value in Agri-Foods / Commodities / Agricultural Commodities
While a bear market is not fun, we should acknowledge the benefits. First, it will eliminate much of the “hedge” fund industry, those that helped create the mortgage debacle and artificially inflated so many asset prices. Investing will be so much better after they are gone. Second, incredible values are being created in markets as these leveraged funds are liquidated. Investors should be looking at these values, rather than in lemming fashion following those mistaking today for 1930. Agri-Food, for example, is not in any way in the same condition as it was in that era.Read full article... Read full article...
Saturday, October 25, 2008
Gold Hits New Bear Market Low / Commodities / Gold & Silver
New bear market lows in gold but not really confirmed by the indicators. Are we in for a rally here? One would be nuts to predict with any certainty. However, we can confirm where we are, if not where we are going.
GOLD : LONG TERM - That $750 P&F projection mentioned last week didn't stand a chance. By the end of the week the P&F chart dropped as low as the $690 unit before rebounding during Friday up to the $750 unit. Now what? The rebound is nice but at this point does not imply a rally of any significance in progress. So we still have the $630 and possibly the $480 levels to look forward to.
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Friday, October 24, 2008
Gold's Fate Linked to Euro? / Commodities / Gold & Silver
Gold and the streetTRACKS Gold Shares (NYSE: GLD) are having an interesting session... but their fate may be increasingingly linked to the direction of Euro/$ (or perhaps Euro/Yen these days). Let's notice that at today's low, the Euro/$ appears to have satisfied an equidistant 2-leg correction off of its July high, and is attempting to hold and to rally off of the 1.2500 equidistant support area.Read full article... Read full article...
Friday, October 24, 2008
Gold Market Plunge Technical Analysis / Commodities / Gold & Silver
It was déjà vu in the Comex gold market yesterday as the recent sharp selloff continued. Bearish sentiment remains at extreme levels and all notions of fundamental value are being thrown out the window as the financial crisis morphs into a global economic crisis. Stock, commodity and many currency markets internationally are in meltdown on panic selling.Read full article... Read full article...
Friday, October 24, 2008
U.S. Dollar Driven Gold Price Crash / Commodities / Gold & Silver
During this unprecedented month where the flagship S&P 500 has plummeted 23.0%, it isn't surprising this brutal stock-market selloff is monopolizing investors' attention. Thus gold's poor performance is largely flying under the radars. Month to date, this metal is down a massive 15.6%! This combined with the intense stock fears have led to an unthinkable 46.4% October decline in the HUI gold-stock index.Read full article... Read full article...
Friday, October 24, 2008
Financial Markets Meltdown a Nightmare for Baby Boomers / Commodities / Gold & Silver Stocks
The continuing meltdown in the financial markets has not played well for the masses of baby boomers. Their losses in 401k's and other assets are probably down on the order of 30% - 40%, minimum.Read full article... Read full article...
Friday, October 24, 2008
Gold Buying Opportunity and Hedge Against Uncertainty / Commodities / Gold & Silver
Perhaps the most interesting development during the intensification of the credit crisis is that the price of gold did not climb higher than it did. Upon the initiation of the crisis in August 2007, the price of gold surged reaching a high of $1002.95 on March 14, 2007. Since then the cost of the precious commodity has fluctuated with the most recent price action sending it to recent lows of 725.74. However, given the pervasive uncertainty in markets we think that this represents a strategic buying opportunity on the back of our bullish call for gold to spike towards $1100 in 2009 with the potential for a much larger move over the longer term.Read full article... Read full article...
Friday, October 24, 2008
Spot Gold Hits New Low as Stocks and Sterling Crumble / Commodities / Gold & Silver
THE SPOT PRICE OF GOLD sank yet again Friday morning, sinking to a fresh 13-month low for US buyers at $683 per ounce.Global stock markets and commodity prices also crumbled once more in the face of huge gains in the Dollar and Yen – the two currencies most owed by leveraged investors worldwide.
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Friday, October 24, 2008
Why Cheap Oil is Great for the Oil Majors / Commodities / Oil Companies
For the last 3 years, the world's oil majors have not had an easy time from the oil producing states. Increasing oil prices has led to a complacent attitude by oil reliant governments. This often masks inefficiency, sometimes corruption, and has led to high taxation coupled with unsound business practices. Russia's oil production for instance, has been reducing each year despite the governments desire to increase output.Read full article... Read full article...
Thursday, October 23, 2008
Gold Market Dis-Information Specialists Ply Their Trade / Commodities / Market Manipulation
Tim Gardiner, president and CEO, Mitsui & Co. Precious Metals Inc. appeared on Canada's Business News Network [BNN] and – in a ridiculous attempt to explain the recent demolishing of the gold price - made the claim that demand for gold was down and, “the only reason for physical shortages of gold products at retail was ‘logistical' and due to a shortage of ‘blanks' from which the coins are stamped”.Read full article... Read full article...
Thursday, October 23, 2008
Gold Crashes to 50% of Bull Market, Recovery Rally Expected / Commodities / Gold & Silver
The very long-term chart pattern shows that the streetTRACKS Gold Shares (NYSE: GLD) has retraced 50% of its entire prior bull run (2005-2008), and so far has shown initial signs of reversal just above critical long-term support between 68.50 and 63.50. As of this moment, the weight of my technical work argues for a recovery rally into the 74.50-75.00 target zone, which could prove to be either the start of a very powerful upleg, or merely a recovery bounce prior to another loop to 70.00 or lower to complete the weakness from the March highs.Read full article... Read full article...
Thursday, October 23, 2008
Commodity Prices Inverse Relationship to the US Dollar / Commodities / CRB Index
The connection with commodity prices and the movement of the U.S. dollar continues to remain tight and over-ride year-over-year fundamentals. Oil and gold are particularly linked to the currency and weakness or strength in the dollar are quickly transferred to positive or negative trading patterns for these natural resources.Read full article... Read full article...
Thursday, October 23, 2008
Credit Deflation Brings Down Gold Bull Market / Commodities / Gold & Silver
Why would Credit Deflation bring down Gold when Credit Inflation didn't send it to the moon?
I have received many emails from readers about the public article I wrote last week on the issue of the current deflation scare. Those arguing against my position believe the US will not experience inflation as quickly as some might expect.
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Thursday, October 23, 2008
Gold Price Crash Continues on Forced Selling / Commodities / Articles
THE PRICE OF SPOT GOLD slumped yet again early Thursday as world stock markets sank and the Dollar continued to rise – alongside the Japanese Yen – on the forex market.Gold's fresh $25 plunge took this week's loss for US investors above 10% at $705.40 an ounce – Spot Gold 's lowest price since mid-Sept. last year.
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Thursday, October 23, 2008
Gold Bulls Running Scared on Price Collapse / Commodities / Gold & Silver
Comex gold's recent sharp selloff has continued and even the most ardent gold bulls are getting nervous. Bearish sentiment is very prominent and the level of fear in the precious metal markets suggests that a low is likely in the coming days. Leveraged players in the futures market are dumping paper positions wholesale while astute contrarians are using this as an opportunity to buy physical bullion at firesale prices.Read full article... Read full article...
Wednesday, October 22, 2008
Internet Startup Dot.com Collapse versus Junior Mining Sector Collapse / Commodities / Gold & Silver Stocks
Back in 2000 at the peak of the Internet bubble investors poured money into startups hoping to strike it rich with the next EBay, Amazon, or Microsoft. When the liquidity bubble popped most were left with massive losses on their positions as the startups that were running at a loss were unable to continue financing their operations and closed their websites and doors.Read full article... Read full article...
Wednesday, October 22, 2008
Dow Gold Ratio Hits 80 Year Extremes, Time to Buy? / Commodities / Gold & Silver
"...It's always darkest before it's pitch black..."
YOU MIGHT LIKE to know, if you put store by such things, that the US stock market just sank to a 14-year low against gold.
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