How To Make A Play On Crude Oil’s Dip

Earlier in the year, it seemed like natural gas was the commodity with little to no hope, as the fossil fuel posted some impressive losing streaks. But it seems that crude oil is hellbent on taking NG’s place, as WTI futures have slid for six consecutive days, making it the longest losing streak for this commodity in nearly two years. But crude’s rather volatile behavior in the past six months can be attributed to a number of macroeconomic factors pushing and pulling the asset in either direction [see also 25 Ways To Invest In Crude Oil].

Posted in Commodity ETFs, Commodity Futures, Energy, Exclusive, WTI | Tagged , , | 5 Comments

Commodity Trading Trends: Crude Oil Slipping

In the wide world of commodities, crude oil is developing an enticing downward trend. With that in mind, this fossil fuel represents a big opportunity in today’s markets, as its price has been tanking as of late. Crude has lost more than 8% of its price in the trailing five days as investors watched the fossil fuel close below $100 for the first time in recent memory. “The Energy Department said last week that U.S. crude inventories have risen to the highest level since 1990. That was followed by the Labor Department on Friday announcing the economy added only 115,000 jobs in April, far fewer than the 165,000 analysts were expecting” writes Pablo Gorondi.

Posted in Commodity ETFs, Commodity Futures, Commodity Trading Trends, Energy, Exclusive, WTI | Tagged , | 5 Comments

China, The 800 lb. Gorilla

A positive GDP number out of China influences commodities today. I think today was an overreaction, but a good sign medium and longer term. Crude picked up 1% today and has quickly pulled away from the very critical $100 mark with prices approaching $104/barrel. I maintain that if we stay below $104 on a settlement basis going into the weekend we will see a sub $100 trade next week. My target remains 97.50 in May futures. I believe, today, the case was the strength in the distillates lifted Crude.

Posted in Agriculture, Cocoa, Commodity Futures, Exclusive, Livestock, Orange Juice, Soybeans | Tagged , , | Leave a comment

Brent Crude vs. WTI: The Best Performing Commodity

Crude oil is one of the most vital commodities in the world. Whether we realize it or not, it has a presence in our everyday lives and is a fuel that our world simply cannot function without. But when it comes to crude investing, traders have long had two choice staring them in the face; Brent oil, and West Texas Intermediate (WTI) oil. The two have stumped many for quite some time, as they search for the intricacies that make these seemingly similar commodities inherently different. Beyond the attributes that set these two apart comes the question of which type of crude makes for a better investment. Recent historical data puts that question to rest, as one clear winner emerges [see also 25 Ways To Invest In Crude Oil].

Posted in Brent Oil, Energy, Exclusive, WTI | Tagged , | 8 Comments

Five Commodity MLPs With Sky High Yields

Income investors groaned at the news of the Fed’s recent decision to hold rates in their near-zero rate rut until late 2014. That could mean nearly three years until we see an uptick in interest rates which points to three years of scrapping for steady income around markets as interest rates of 0.25% are less than enticing for most investors. But for those who live and die by dividend yields, there are still a number of options available, especially in the commodity space. Investing on the equity side of commodities can offer low correlation (though not nearly as low as the direct commodity itself) while providing a handsome income stream [see also 12 High-Yielding Commodities For 2012].

Posted in Agriculture, Coal, Commodity Producers, Dividends, Energy, Exclusive, Natural Gas, WTI | Tagged , , , , , , , | 11 Comments

Commodity Trading Trends: Crude Making Its Way Up?

After peaking above $100/barrel last month, crude oil endured a bit of a slide the mid $90s, but its momentum seems to have shifted. After a big day yesterday, February has seen crude futures begin to make their way back up, much to the delight of many investors. For the trailing weeks, the biggest story surrounding crude oil has been the tensions surrounding Iran. The nation, who controls a narrow body of water through which a large proportion of the world’s oil passes, has been threatening to cut off oil to the U.S. as well as other parts of the world. While WTI is the commodity of focus here in the States, brent oil has also been on a tear as of late [see also Crude Oil Guide: Brent Vs. WTI, What’s The Difference?].

Posted in Commodity Trading Trends, Energy, Exclusive, WTI | Tagged , , , , | 17 Comments

Iran Tensions And Crude Oil: What It Means For Your Portfolio

Crude oil is arguably the most widely-traded commodity on the market and it is also one of the most significant. Much of the past year saw crude sway violently back in forth much like general equities, but oil prices have recently been enjoying a nice upward momentum that began in early October. With prices now broken through the triple digit barrier once again, investors look to the price drivers for crude to see if the commodity is overvalued or if now may be a good time to buy in. Perhaps the most important factor to consider in trading crude today is the tensions and issues revolving around Iran [see also 12 High-Yielding Commodities For 2012].

Posted in Brent Oil, Energy, Exclusive, WTI | Tagged , , , , | 12 Comments

Three Commodity Plays For 2012

It’s no secret that most commodities had a rough 2011; even top performers like gold have not been without their blips. So when it comes time to examine your portfolio for the coming year, choosing the right commodity can be a tall order. First, it is important to note that no matter which asset you choose, it will more than likely be volatile and require active monitoring as well as stop-loss protections. But while these investments may be volatile, their benefits to an overall portfolio have earned them the right to makeup anywhere from 5% to 10% of your holdings. For investors searching for the right move for 2012, we outline three enticing commodity plays to help prepare your portfolio for a clean slate after a tough year [see also 12 High-Yielding Commodities For 2012].

Posted in Agriculture, Cotton, Energy, Exclusive, Natural Gas, WTI | Tagged , , , | 6 Comments

Commodity Trading Trends: Crude Oil Cheap?

The past few weeks have seen oil enjoy a meteoric rise. The fossil fuel surged from roughly $75/barrel, all the way to $102/barrel in a recent peak. But breaking the triple digit barrier didn’t last long for crude, as global instability and a lack of investor confidence moved in to create pressures for the commodity yet again. The past few trading days have been miserable for oil, as it is now fighting with prices in the low $90s. Given the recent strength exhibited by WTI, the commodity’s low prices now present themselves as an interesting play. By many accounts, crude was undervalued even when it was above $100 and the coming year may send prices even higher, making recent lows an enticing opportunity for oil [see also 12 High-Yielding Commodities For 2012].

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The Five Most Active Commodities of 2011

This past year has been plagued with volatility, as global instability has put a major damper on commodity markets. Thought the first few months looked promising, the latter 30 day periods were plagued by euro-zone woes and choppy markets. As if commodities weren’t volatile enough to begin with, throwing in shaky markets only exacerbates things. It was a tough year for a number of commodity investors, but that doesn’t mean that it was without its gains. Gold, for example, has had a stellar year compared to most investments, bringing solid gains in portfolios that have been hard pressed to find any breathing room. One of the most interesting statistics to look at on the year is where the money was flowing and which assets saw the most investing activity. Below, we outline the most popular commodities of 2011 to help investors find the most liquid options for the coming year … See the full story here

Posted in Agriculture, Commodity Futures, Corn, Energy, Exclusive, Gold, Precious Metals, Soybeans, WTI | Tagged , , , , , | 3 Comments