A Deeper Look At China’s Commodity Industry

Although the geographical size of China is perhaps not that difficult for North Americans to appreciate, their population is another matter. As China has become the second-largest economy in the world, it is without question transformed into an enormous force in the world’s commodity markets; so much so, in fact, that the recent commodity supercycle is now generally seen as a byproduct of China’s emergence [for more commodity news and analysis subscribe to our free newsletter].

Posted in Academic Research, Actionable Ideas, Agriculture, Asset Allocation, Commodity ETFs, Commodity Futures, Commodity Producers, Energy, Industrial Metals, Precious Metals | Tagged , , , , , , , , , , | 3 Comments

Top 5 Global Oil Stocks by Market Cap

Oil has long been, arguably, the most popular commodity on the market, as investors and traders alike look to hop in on the fossil fuel. Though most people simply think of gasoline when they hear the term crude oil, this commodity is actually a vital part of our everyday lives. As a result, companies that are involved in the exploration, production, and selling of crude oil also play a critical role in the market. For those who have a bullish outlook on oil prices and the oil industry, we outline five of the biggest oil companies by market cap [for more gold news and analysis subscribe to our free newsletter].

Posted in Actionable Ideas, Asset Allocation, Brent Oil, Commodity Producers, Energy, Gasoline, WTI | Tagged , , , , | 14 Comments

Commodity Plays For the End of Fiat Currency

For the majority of U.S. history, we have stood behind a currency backed by gold. That all changed on August 15th, 1971 when President Richard Nixon discontinued the gold standard in order to deal with a number of issues ailing the U.S. at the time. But since we have come off of the gold standard many would argue that our fiat currency is one of the primary reasons why our economy is currently suffering. Recent years have seen the Fed print money at will and pump back into the economy in an attempt to kickstart the recovery, an action that is simply not possible with the gold standard [see also Warning: Ignore Bill Gross’ Hard Money Prediction At Your Own Risk].

Posted in Brent Oil, Commodity ETFs, Commodity Producers, Energy, Gold, Precious Metals, WTI | Tagged , , | 17 Comments

5 Worst-Performing Commodities In 2012

There are three primary determinants of commodity prices: supply, demand and sentiment. In the near term, if supply exceeds consumption, commodity prices tend to fall. Sentiment, or the opinion of traders that either look to hedge commodity prices to try and smooth out production costs or speculate for profit, is another important indicator that is much more difficult to gauge. For the most part, excess supply conditions are driving prices of the below commodities lower. They happen to be the worst performers so far this year, which could be due in good part to negative sentiment because in a number of cases the price is well below what the fundamentals appear to support [for more commodity news and analysis subscribe to our free newsletter].

Posted in Commodity Futures | Tagged , , , , , | 3 Comments

12 High-Yielding Commodities For 2012

Commodity investing has been extremely popular in recent years as investors have discovered the benefits that these investments can offer for an individual portfolio. Exposure to commodities offers benefits like low correlation, inflation hedges, and also heavy exposure to some of the world’s fastest growing markets. But there is still something of a disconnect between income investors and commodities, as these investments are typically seen as growth plays or simply left for active traders. But those who overlook commodity stocks with even mediocre yields could be missing out [see also Jim Rogers Says: Buy Commodities Now, Or You’ll Hate Yourself Later].

Posted in Academic Research, Agriculture, Aluminum, Commodity ETFs, Commodity Producers, Copper, Energy, Exclusive, Gold, Industrial Metals, Natural Gas, Precious Metals, Silver, WTI | Tagged , , , , , , , , , , , , , , , , , , , | 131 Comments

Major Countries Burn Up Crude Reserves: Big Oil In Trouble?

It is something that peak oil advocates have been warning us for a long time; our world using up our last reserves of oil. While the day that the last drip of crude is burned up is a long ways out, some parts of the world may be heading for a major pinch in production. As our world population continues to expand, with the total predicted to hit nine billion by 2050, our addiction to crude only increases, as we use oil for a wide number of things in our daily lives. Besides its most dominant use as a fuel for automobiles and the like, oil is also used in a number of other processes like the production of plastics and variety of other industrial outputs [see also Ultimate Guide To RBOB Gasoline Investing].

Posted in Actionable Ideas, Brent Oil, Commodity Producers, Energy, Exclusive, WTI | Tagged , , , , | 17 Comments