The first quarter earnings season of 2014 is well on its way, with several bellwethers reporting both hits and misses. On the commodity producer front, Alcoa (AA) kicked off the season. AA reported revenues of $5.45 billion, below the expected $5.56 billion, and earnings of $0.09 per share, which managed to beat analyst estimates of $0.05. Agribusiness giant Monsanto (MON) managed to beat both EPS and revenue estimates, posting quarterly revenues of $5.83 billion and earnings of $3.15 per share [for more commodity news and analysis subscribe to our free newsletter].
Earnings season is just about over, and the Street will soon have to turn its eyes to macro data to decide where markets go from here. Thus far, this batch of earnings has been a mixed bag; though a number of key companies beat estimates, lowered guidance took precedent. It seems that this time around, investors are very focused on how companies are guiding, especially given the Fed’s current taper process [for more commodity news and analysis subscribe to our free newsletter].
Last year, investors witnessed several corners of the commodity market falter. One of the hardest hit sectors, however, was metals and mining; both the commodity and its producers suffered tremendous losses in 2013. The popular SPDR Gold Trust (GLD) saw outflows of more than $23 billion last year, causing its assets under management to sink by more than 40%. Other metal funds, as well as individual mining companies, had similarly dismal performances [for more gold and silver news and analysis subscribe to our free newsletter].
As earnings season kicks into full gear, all eyes turn to the reports of some of the world’s most powerful commodity firms to comment on the asset class as a whole. This week sees the heat turned up on the energy space, as some of the biggest players in the world of oil are on deck, as well as a few other companies sprinkled in throughout the week [for more commodity news and analysis subscribe to our free newsletter]:
The bulls are at it again as major U.S. indexes continue their relentless ascent into previously uncharted territory, with the S&P 500 Index flirting right around the milestone 1,700 mark. Despite a few worrisome reports from bellwethers Coca-Cola and McDonald’s, corporate performance results have largely come in better-than-expected, especially on the financials front; upbeat operating results and optimistic outlooks from big banks including JP Morgan and Bank of America have helped to reignite euphoria on Wall Street following the recent stimulus fear induced pullback [for more commodity futures news and analysis subscribe to our free newsletter].
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].
Gold investors were in for a wild ride this year, as several major economic events thrust the precious metal into some rather volatile swings. Between the announcement of QE3, the President’s reelection, and the fiscal cliff talks, gold’s performance was all over the board, though the metal managed to post solid but relatively lower gains on the year. As a result, two popular exchange-traded funds saw a lot of activity in 2012: State Street’s SPDR Gold Trust (GLD) and Van Eck’s Market Vectors TR Gold Miners ETF (GDX). A close look at the performances on a year-to-date basis shows just how vastly different these two approaches to the gold market can be [for more gold ETF news and analysis subscribe to our free newsletter]:
As we enter the latter half of earnings season, it is time for a number of the world’s biggest and most significant commodity-based firms to report their results from their most recent fiscal quarter. The figures they post as well as the guidance they provide will have not only a big impact on their stock, but some of the bellwethers will actually have an impact on the commodity itself. Below, we have compiled a list of some of the biggest and most important commodity firms to report earnings this week, all of which you should keep a watchful eye on [for more commodity news and analysis subscribe to our free newsletter].
Physical and futures-based investments in gold have been a mainstay in many investors portfolios for years now, but allocations to gold mining and exploration companies have quickly solidified their place in the commodity world. Although they do not have a perfect correlation to spot bullion prices, these stocks offer indirect access to arguably the world’s most popular safe haven while at the same time providing equity exposure that has a unique risk/return profile. For those who have a bullish outlook on gold prices and the mining industry, we outline five of the biggest gold mining and exploration companies by market cap [for more gold news and analysis subscribe to our free newsletter].
Ron Paul has long been known to make rather bold statements on the U.S. economy. And while he has continued to run for President in recent years, with each campaign being more successful than the last, his views have also made him a popular name in the investing world. Particularly in the precious metals space, Ron Paul has had a lot of sway in recent years with his comments on gold and silver. But he does not stop at just making comments on these two commodities, he takes it a step further and puts his money where his mouth is [for more commodity news and analysis subscribe to our free newsletter].