Though many day traders base their decisions on technical trends, savvy commodity traders also incorporate factual fundamental reports into their research to ensure that they are on the right side of the trade at all times. For energy traders, the data and outlook provided by the U.S. Energy Information Administration (EIA) are some of the most important reports to follow [for more commodity news and analysis subscribe to our free newsletter].
As earnings season draws to a close, the commodity world will see, arguably, its most publicized week. The next five days will feature earnings from some of the biggest oil firms in the world, with a few other companies sprinkled in. Investors will be especially keen to see how the recent spike in oil prices has impacted these major producers. Below, we outline some of the most prominent commodity firms slated to report earnings this week [for more commodity news and analysis subscribe to our free newsletter].
While the global economic slowdown has impacted nearly every corner of the investable universe, one commodity group that has been hit particularly hard has been energy. Oil, gas, coal, and even nuclear power have all fallen victim to sluggish economic growth and dwindling global demand. And in its annual energy report, BP takes a closer look at how exactly the global recession has impacted the supply and demand of some of the most widely-traded commodities on the market [for more energy news and analysis subscribe to our free newsletter].
It’s not a secret that commercial hedgers and institutional traders account for the majority of trading in the commodities markets. But, many individual traders fail to realize that they can take a behind-the-scenes look at these trades each and every week, thanks to reporting requirements imposed by the Commodity Futures Trading Commission (CFTC) [for more market news and analysis subscribe to our free newsletter].
We’ve all heard of TIP, right? If you’re a long term commodities investor that buys on the dips, you might use this highly liquid ETF as the short term place for your dry powder. In theory, it protects from inflation, since the ETF holds only Treasury Inflation-Protected Securities (TIPS). In practice, the return on these TIPS is based on the movement of the CPI over time. Is this a problem? Depends whom you ask.