A Look at Commodities in the First Half of 2014
The first half of 2014 is in the books, and commodities have finally started to see something of a turn around. Commodities had a tough 2013, while equity markets made an unprecedented run higher, turning investor’s attention away from a floundering commodity space. But the first six months of this year saw hard assets move higher and hold pace with broad markets, injecting some much-needed life into the commodity world [for more commodity news and analysis subscribe to our free newsletter].
February Contango Report: Precious Metals and Softs
Contango is the process by which near month futures are cheaper than those expiring further into the future, creating an upward sloping curve for future prices over time. It usually stems from the cost of storing commodities prior to their sale, though a futures curve can also reflect market expectations of where a commodity is heading. Though contango often comes handcuffed to negative connotations, it typically is not a problem for traders and investors who are aware of it [for more commodity news and analysis subscribe to our free newsletter].
Contango Report: Precious Metals Sloping Up for 2014
As we kick off the New Year, commodity investors are hoping that 2014 brings more favorable returns than its predecessor. Last year was largely marked by dwindling commodity returns with a number of hard assets wreaking havoc on investors and traders across the board. Gearing up for 2014, we take a look at some of the biggest commodities currently contangoed to help you get prepared for the new year [for more commodity news and analysis subscribe to our free newsletter].
Checking in on the Best Commodities of 2012
While the bulls reigned supreme on Wall Street in 2013, bearish pressures kept a lid on commodity prices throughout the entire year as investor rotated out of safe havens and jumped into cyclical equities. Despite the improving economic outlook on the home front, as evidenced by the Federal Reserve’s efforts to start reducing stimulus, demand for natural resources remains lackluster. Worries over China’s slowdown and unfavorable supply conditions remain the key headwinds that will most likely continue to put downward pressures on commodity prices heading into the new year [for more commodity news and analysis subscribe to our free newsletter].
Where Does Gold Come From?
Gold is one of history’s most famous and important metals and has been the basis for monetary systems for thousands of years. This influential metal that has sculpted our history may not even be from our planet. Researchers have recently found new evidence that gold actually comes from the collisions of dead neutron stars. While this discovery may do little as a price mover for this precious metal, it may give us an insight into just how rare gold is [for more commodity news and analysis subscribe to our free newsletter].
Fed Tapering Puts Precious Metals In A Pickle
As the decade opened, precious metals (namely gold) were among the most popular commodities for long-term investors. Many had grown comfortable with the commodities as safe haven assets that would help to protect their portfolios from inflation and any unforeseen market dips. But Ben Bernanke may have let the air out of the precious metals world when he announced that the Fed would begin tapering its bond purchasing late this year or in early 2014 [for more precious metals news and analysis subscribe to our free newsletter].
A Deeper Look At Russia’s Commodity Industry
Russia may be the ninth largest economy in the world by nominal gross domestic product, but its abundance of natural resources in the Ural Mountains, Siberia and the Russian Far East makes it much more important in the world of commodities. The emerging market has long been known for its vast production of some of the most vital commodities in the world. Below, we dissect Russia’s commodity industry to give investors an in-depth look at this BRIC nation [for more commodity news and analysis subscribe to our free newsletter].
Contango Report: Commodities Facing Uphill Curves
Contango is a natural phenomenon in the world of commodity futures. Some view it as an evil that plagues the space, but in reality it is just another pattern that traders can profit from. Contango, simply put, is the process by which futures contracts get more expensive as the maturity dates get further out from spot. While this can hurt a long-term position, savvy traders can use this uphill curve to their advantage. Below, we outline several commodities exhibiting contango to help you make the best trading decisions for your portfolio [for more commodity news and analysis subscribe to our free newsletter].
Platinum Coins: A Trillion Dollar Blunder
After the U.S. narrowly avoided the fiscal cliff as 2013 began, many had hoped that the debt ceiling issues would be resolved. But as of the open of 2013, the country stares at a debt pile of more than $16.4 trillion–higher than total GDP. This has led to all sorts of unconventional theories and schemes for getting ourselves out of debt, one of which involves the minting of one or several trillion dollar coins made of platinum [for more platinum news and analysis subscribe to our free newsletter].
The 5 Best Commodities of 2012
Another year has come to an end, and another 12-month stretch of frantic commodity trading can go in the books. As is par for the course, this year saw a number of big movers throughout the space, as these assets maintained their reputation for general volatility. This year saw its share of winners and losers, as a number of macroeconomic factors combined to guide the commodity space to the finish line. Below, we outline the five commodities that outperformed their competition in 2012 [for more commodity news and analysis subscribe to our free newsletter].