Aussie Dollar Weakness A Dangerous Sign For Gold

Posted on May 15, 2013 by

The commodities front remains mixed as the U.S. dollar’s recent rally has put downward pressures on many resource prices. Furthermore, the ongoing bull run on Wall Street has prompted many investors waiting on the sidelines to jump into equities in lieu of chasing paltry yields in the bond market or lackluster returns in the commodities space [for more market news and analysis subscribe to our free newsletter]. Surprisingly, gold has managed to keep afloat in recent weeks amid the stock market euphoria, which is a commendable feat given the extreme selling pressures it saw earlier in April. The outlook for the yellow metal remains mixed, however, as technical patterns and currency market trends are hinting at another round of selling in the near future.

Posted in Commodity ETF Analysis, Commodity Trading Outlook, Commodity Trading Trends, Gold | Tagged | 1 Comment

Peter Schiff: Gold Is At A Steep Discount

Posted on May 10, 2013 by

Even gold bugs have to admit that the yellow metal has seen better days. After hitting record lows on April 15th, many analysts have speculated that gold may no longer be a viable investment option, at least not in the way it has been in the past five years. With investor faith and gold prices reaching fresh lows, some see these new market conditions as an opportunity. Well-known for his high opinion of gold and commodity centered investment strategies, Peter Schiff thinks these low prices could provide a huge payoff for savvy investors who are willing to continue gambling with gold prices [for more gold news and analysis subscribe to our free newsletter].

Posted in Asset Allocation, Gold, Precious Metals | Tagged | 2 Comments

Precious Metals Look Golden For Market Bears

Posted on May 7, 2013 by

Investing in precious metals has become an extremely popular choice for equity investors looking to hedge their portfolios. Generally, this commodity class has gained the reputation as a “safe haven” holding during volatile market periods, but recently precious metals have flipped sides and saw a period of relatively high correlation to equities [see also 2013 Commodity Trades You Wish You Made].

Posted in Gold, Precious Metals, Silver | Tagged , | Leave a comment

Can GLD’s Rebound Weather FOMC Minutes?

Posted on May 1, 2013 by

The bulls are at it again this week as stimulus hopes have taken center stage at home and in the eurozone. Investors on Wall Street continue to digest corporate earnings results, which for the most part are coming in better-than-expected; however, looming FOMC minutes and Friday’s monthly employment report will surely steal the spotlight this week. Overseas, investors are anticipating for the European Central Bank to cut rates down to 0.5% from 0.75%, potentially paving the way higher for gold prices as inflation fears return [for more market news and analysis subscribe to our free newsletter].

Posted in Commodity ETF Analysis, Gold, Trading | Tagged | Leave a comment

2013 Commodity Trades You Wish You Made

Posted on April 30, 2013 by

The phrase “hindsight is always 20/20″ is most applicable to investors. There are numerous occasions when traders wish they would have followed their gut or executed a specific position, especially looking back on the gains that certain assets have made. It is relatively easy to make a bold call on a specific asset, but it is much more difficult to follow through with the trade and exit the position at the proper moment. With 2013 already being a wild year in the commodity world, we take a look back at some of the most fruitful trades throughout the industry thus far [for more commodity news and analysis subscribe to our free newsletter].

Posted in Actionable Ideas, Asset Allocation, Commodity ETFs, Commodity Futures, Commodity Producers, Energy, Gold, Natural Gas, Precious Metals, Silver | Tagged , , , , , , | 1 Comment

Roubini: Commodity Weakness Signals Global Economic Weakness

Posted on April 29, 2013 by

Nouriel Roubini is a household name in the financial world as his nickname, “Dr. Doom,” has been rightfully earned, given his propensity for bearish sentiment. Roubini is also not afraid to speak his mind as he has been issuing warnings about the global economy for the past few years. Now, the Dr. has commented on the commodity industry, as he believes its struggles reveal a bigger trend that could see the global economy slip [for more commodity news and analysis subscribe to our free newsletter].

Posted in Actionable Ideas, Gold, News and Current Events, Precious Metals | Tagged , | 1 Comment

Jim Rogers: Gold Will Resume Its Bull Market

Posted on April 26, 2013 by

Jim Rogers has long been one of the most influential names in the commodity world and he’s never been shy about vocalizing his love of precious metals. Last fall, Rogers expressed his concern that gold was now overvalued and would suffer a falling out with investors. Fast forward to 2013 and it appears that Rogers was right, as gold lost over 18% this spring, sending investors scattering. In a recent interview with USA WatchDog, Rogers explains why he thinks this loss was natural and necessary for gold investors [for more gold news and analysis subscribe to our free newsletter].

Posted in Gold, News and Current Events, Precious Metals | Tagged , , , | 1 Comment

Earnings Preview: Good News For Oil, Bad News For Gold And Copper (SCCO, TRP, NEM, SU)

Posted on April 25, 2013 by

Earnings season for Q1 2013 is well on its way, with several bellwether commodity stocks already reporting better-than-expected results. Agribusiness giant Monsanto Company (MON) posted earnings that significantly beat out estimates: earnings rose 22%, while profits came in at $1.48 billion. Meanwhile, Halliburton (HAL) reported an unprofitable quarter, though the company added $1 billion to reserves tied to litigation involving the Deepwater Horizon rig explosion. Barrick Gold (ABX) also beat analyst expectations, clocking in an EPS of $0.86 [for more oil news and analysis subscribe to our free newsletter].

Posted in Commodity Producers, Copper, Earnings, Earnings Reports, Energy, Gold, Industrial Metals, Natural Gas, Precious Metals, WTI | Tagged , , , | 4 Comments

Gold Miners Continue To Fail

Posted on April 23, 2013 by

The demise of gold in the last few months has been well documented as investors watched the metal tumble from $1,900/oz to below $1,400/oz in less than two years, a drop of 25%. But it was not that long ago that analysts and investors were not only touting gold as a good investment, but gold miners were seen as a great opportunity for those looking for an equity spin on the metal. Unfortunately, that idea has not panned out, as the past few years have hit the gold mining sector especially hard [for more gold news and analysis subscribe to our free newsletter].

Posted in Actionable Ideas, Commodity ETFs, Commodity Producers, Gold, Precious Metals | Tagged , | 3 Comments

When Goldman Sachs Says Short Gold, It’s Time To Buy

Posted on April 16, 2013 by

Last week, we reported on Goldman Sachs (GS) slashing its outlook for gold and suggesting investors short the precious metal.  In a letter to its clients, analysts at the company stated “We see risk to current prices as skewed to the downside as we move through 2013. In fact, should our expectation for lower gold prices continue to prove correct, the fall in prices could end up being faster and larger than our forecast.” But given Goldman’s history, it will be difficult for many to trust this sentiment [for more gold news and analysis subscribe to our free newsletter].

Posted in Academic Research, Commodity Trading Outlook, Gold, News and Current Events, Precious Metals | Tagged , , , , | 9 Comments