Analysis Topic: Commodity Markets - Metals, Softs & Oils
The analysis published under this topic are as follows.Tuesday, July 26, 2016
How would you invest money you didn't need for ten years? / Commodities / Gold and Silver 2016
One in six investors chose gold as the best place to park money they wouldn't need for more than ten years – the same number that chose stocks, according to a recent Bankrate survey. Another 6% chose bonds, while 25% chose real estate, and 23% said they would simply bank the money.
To the typical Wall Streeter, these results represent a world turned upside down. CNBC's Jim Cramer took one look and lamented, "As someone who has lived and breathed stocks for most of my life, this is a horrendous finding. But it's not surprising."
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Monday, July 25, 2016
Underpriced Silver Is the “Rip Van Winkle” Metal / Commodities / Gold and Silver 2016
Welcome to this week’s Market Wrap Podcast, I’m Mike Gleason.
Coming up we’ll hear a fantastic interview with Dr. Chris Martenson of PeakProsperity.com, author of the Crash Course and now his wonderful new book Prosper. Chris will give us his amazing insights on a range of topics, including the real reasons behind the recent and surprising stock market rally, what to expect in the precious metals markets in the weeks and months ahead and the steps you can take to protect yourself in the face of ever-growing domestic and global chaos. You simply do not want to miss a must-hear interview with Chris Martenson coming up after this week’s market update.
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Monday, July 25, 2016
Silver Manipulation – Because They Needed the Eggs / Commodities / Gold and Silver 2016
“It reminds me of that old joke- you know, a guy walks into a psychiatrist's office and says, hey doc, my brother's crazy! He thinks he's a chicken. Then the doc says, why don't you turn him in? Then the guy says, I would but I need the eggs. I guess that's how I feel about relationships. They're totally crazy, irrational, and absurd, but we keep going through it because we need the eggs.” - Woody Allen
While there is no question of government enabling, (by decree or inaction), market manipulations haven’t really changed all that much in character over the centuries.
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Sunday, July 24, 2016
Silver Market COT Stuns: What's Going On Here? / Commodities / Gold and Silver 2016
Let's start this off with a broad overall look at the various players in the silver market.
Silver CoT Futures and Options Combined, Disaggregated Report
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Sunday, July 24, 2016
Gold Demand Remains Stable During Sector Weakness / Commodities / Gold and Silver Stocks 2016
My favorite indicator for real time Gold demand is the amount of Gold in the GLD and its fluctuations over time. As we wrote in our book , the driving force for Gold is investment demand which is driven by changes in real interest rates. Western-based investment demand from big money (i.e Stan Druckenmiller and George Soros) shows up mostly in the ETFs and specifically, GLD. The amount of Gold in GLD has risen steadily even as Gold consolidated a few months back and has been stable in recent weeks even as Gold and gold stocks correct their Brexit breakouts.
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Saturday, July 23, 2016
Gold And Silver – Debt Addiction Will Carry Precious Metals Higher, Guaranteed / Commodities / Gold and Silver 2016
All is not so well within the elite’s New World Order. Their tried and true template of Problem-Reaction-Solution is in full gear as chaos reigns throughout the globe, which is exactly how the globalists like to see events unfold. Chaos [Problem] leads to unnerving situations [Reaction] amongst the masses that eventually cry out for resolve and a return to “normalcy” [Solution, but only as intended by the elites]. Invariably, a return to some kind of order requires the giving up of freedoms, and it often entails tightening the noose of economic hardship.
Sadly, the rinse-and-repeat familiarity of this Problem-Reaction-Solution scenario never seems familiar to the masses. Each time is “different,” that is to say the events may seem to be different, but the procedure of how the events unfold each and every time throughout history is never different.
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Saturday, July 23, 2016
Soybean Commodity Price to Soar Again / Commodities / Agricultural Commodities
The soybean price had a cracker of a run recently and is now consolidating. Once this corrective phase is over I expect price to soar once more to even greater heights.
Let’s review the technicals beginning with the longer term yearly chart.
Saturday, July 23, 2016
7 Signs That the Gold Market Remains Resilient / Commodities / Gold and Silver 2016
Gold and silver prices ran out of momentum during the first week of July and have been drifting lower ever since. A deeper correction seems like a realistic expectation, but precious metals are showing strong signs of resiliency. Here are seven forces that should be creating headwinds for precious metals, but are barely having any impact.
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Saturday, July 23, 2016
Gold and Gold Stock Indices / Commodities / Gold and Silver 2016
Investing in particular gold stocks gives exposure to movements in price of gold, but also to other factors affecting the gold mining industry, as well as company-specific strengths and weaknesses. This is why investors have to bear in mind the trends in the gold market as well as the mining industry, and wisely select appropriate stocks. One way to avoid the problem of selecting the promising shares (for instance for those that don’t have access to tools that would make the selection easier) is to invest in the index of gold mining companies.
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Friday, July 22, 2016
Silver Bull Faces Correction / Commodities / Gold and Silver 2016
Silver’s young bull market got off to a typically-slow start, lagging gold’s own new bull. But recently the white metal surged to catch up in a record summer rally. That left silver very overbought and facing near-term correction risks led by a record futures selling overhang and weak late-summer seasonals. But this strengthening bull still has a long ways higher to run yet before silver prices reflect prevailing gold levels.
Silver is something of an enigma. By the global supply-and-demand numbers, it’s inarguably another industrial metal. According to the venerable Silver Institute which gathers the world’s best fundamental data, industrial fabrication accounted for 50.3% of total demand last year. That was followed by coins and bars at 25.0% and jewelry at 19.4%. Most of the silver mined is consumed, not hoarded for investment.
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Thursday, July 21, 2016
Not Everything Is Bullish for Gold / Commodities / Gold and Silver 2016
There are quite a few bearish indications that suggest lower precious metals prices are just around the corner. Let's take a look at a few of them (charts courtesy of http://stockcharts.com).
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Thursday, July 21, 2016
Silver – Caught Inside / Commodities / Gold and Silver 2016
Most short term investors know better. At worst, silver is a survival story. At best it is an investment for the ages.
Some place in between it is an intermediate investment, albeit a very emotional and volatile one. Current financial conditions mandate survival as the primary focus. And the essence of financial survival is return of investment.
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Thursday, July 21, 2016
Gold Price Time For A Bounce, But Probably Not A Bottom Yet / Commodities / Gold and Silver 2016
Sentiment got a little too bearish and price is bouncing off the 38% Fibonacci retracement. Ideally though I’d like to see one more lower low next week to break the cycle uptrend line before trying to call a bottom.
I’d like to see a bit more bearish sentiment and some panic selling. DCL’s should create fear and cause traders to think price is rolling over. That usually requires a trend line break to get technical traders on the wrong side of the market before price resumes the uptrend.
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Thursday, July 21, 2016
Did Oil Kill The Dinosaurs? / Commodities / Crude Oil
What killed the dinosaurs? It's a question as old as – well the dinosaurs themselves, and one that everyone from school children to scientists have been asking for decades. Movies like Jurassic Park and the Land Before Time only heighten that sense of wonder and raise the stakes behind that question. Now according to a new scientific study, it seems that black gold may have been the source of the dinos' demise.Read full article... Read full article...
Thursday, July 21, 2016
US Dollar's Rise Spells the End of Commodities' Run / Commodities / CRB Index
A steady stream of strengthening fundamentals are driving the U.S. dollar higher. Healthier data from jobs, consumer spending and housing have put a tailwind on the greenback.
Moreover, America's economy is outperforming the weaker economies aboard. And this is setting a backdrop for improved prospects for another rate hike in the months ahead.
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Wednesday, July 20, 2016
Silver Price Ignition or Money Reasserting: When Silver Investment Demand Merges with Industrial Demand / Commodities / Gold and Silver 2016
A long time reader and forum member posted the following with a question regarding silver industrial demand:
“The question that begs an answer, is how will this ultimately effect the monetary value of Silver and does that foretell a change in investment strategies?” (Full comment below).
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Wednesday, July 20, 2016
Gold Daily Cycle Low Still Several Days Away / Commodities / Gold and Silver 2016
Some analysts were expecting gold to form an early Daily Cycle Low. I’ve been warning that gold needs to break the cycle trend line before the DCL can bottom and to beware of a fake out. It turns out I was correct to be patient. I doubt gold will form the DCL until right before, or on the FOMC statement next week. More patience.
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Wednesday, July 20, 2016
Why Lithium Will See Another Price Spike This Fall / Commodities / Lithium
So far, lithium has been the hottest metal of 2016, beating out gold, with exponential demand expected over the coming years. Although the price trajectory of the metal has been subdued in recent months, the fundamentals behind the long-term trajectory suggest strong potential for long-term growth. Price doubling from 2014/2015 was first seen in China and is now being felt worldwide, with lithium hydroxide prices from $16-20 and carbonate prices from $12-14 thousand USD per ton.Read full article... Read full article...
Tuesday, July 19, 2016
The Peak Oil Paradox Revisited / Commodities / Crude Oil
It’s been a while since we posted an article by our friend Euan Mearns, who was active at The Oil Drum at the same time Nicole and I were. Is it really 11 years ago that started, and almost 9 since we left? You know the drill: we ‘departed’ because they didn’t want us to cover finance, which we said was the more immediate crisis, yada yada. Euan stayed on for longer, and the once unequalled Oil Drum is no more.
On one of our long tours, which were based around Nicole’s brilliant public speaking engagements, we went to see Euan in Scotland, he teaches at Aberdeen University. I think it was 2011?! An honor. Anyway, always a friend.
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Tuesday, July 19, 2016
Climbing Gold and Silver’s Wall of Worry / Commodities / Gold and Silver 2016
Confidence is slippery, even when you are a metals investor sitting atop the best performing assets of 2016. It doesn’t help when 4 years of a miserable bear market remains fresh in our memories. Any weakness in prices and it can feel like markets are getting ready to plunge right back to $13 silver and $1,000 gold.
That feeling is called the “Wall of Worry”, and bulls are going to have to climb it by staying in the market even if their emotions are telling them to bail. Let’s review the last 6 weeks because they are quite instructional.
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