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Could a Trump win lift gold?

Posted on 26 July 2016 by VRS  |  Email |Print

A new ABN AMRO study states gold will rise in price under a potential Trump presidency. “If Trump were to become president gold prices will likely perform well, because we expect that his policies will be inward looking and will weaken the fundamentals of the US economy,” ABN AMRO report author Georgette Boele said.
The report cited gold’s trajectory under previous presidents, stating that inflation has always been a driver for gold, and economic uncertainty coupled with likely domestic uncertainty will drive investors to gold, creating a more bullish market………………………………………..Full Article: Source

JPMorgan oil trader takes over commodities

Posted on 21 July 2016 by VRS  |  Email |Print

JPMorgan has appointed its top oil trader as the new head of its commodities division, the latest move in a business that has reinvented itself since selling the bulk of its physical operations two years ago.
Jeff Katz, who previously oversaw oil trading at the Wall Street bank, is to replace Mike Camacho who is moving into the bank’s asset management division, according to an internal memo seen by the Financial Times………………………………………..Full Article: Source

Deltec’s Lele says commodity prices will be decimated

Posted on 20 July 2016 by VRS  |  Email |Print

Commodities are heading into another bear market and will be “decimated” by an environment of tightening United States dollar liquidity, similar to the sell-off at the start of 2016, that will drag emerging markets and high-yield credit down too.
Atul Lele, chief investment officer at Deltec, remains convinced that the US Federal Reserve can raise interest rates once this year and again in 2017. Futures indicate that right now traders are not counting on a Fed hike until 2018 and Mr Lele agrees the market “is not at all prepared” for a return to slower US dollar liquidity growth, which will come as the Fed puts more distance between itself and the era of zero per cent interest rates………………………………………..Full Article: Source

Saudi always reacts to oil supply and demand, watching market - minister

Posted on 18 July 2016 by VRS  |  Email |Print

Saudi Arabia’s energy minister said on Sunday the kingdom always reacts to oil market supply and demand and it would continue to monitor crude markets for any developments. Khalid al-Falih also said that final agreements with foreign investors taking part in state oil giant Saudi Aramco’s IPO huge ship repair and shipbuilding complex that it is developing at Ras al-Khair would be signed “over the next few weeks and months”.
The complex, on the kingdom’s east coast, is due to be fully operational by 2021. Lamprell, Aramco, National Shipping Company of Saudi Arabia (Bahri) and Hyundai Heavy Industries signed a potential partnership agreement relating to the yard earlier this year………………………………………..Full Article: Source

Saudi energy minister says oil market is balancing

Posted on 11 July 2016 by VRS  |  Email |Print

Saudi Arabia’s energy minister said on Sunday the oil market was becoming more balanced and prices were stabilizing. Khalid al-Falih said Saudi Arabia, the world’s biggest oil exporter, would always strive to stabilize the oil market, a statement by the energy ministry said on Sunday.
“In doing so, the Kingdom secures the flow of oil supplies as it retains a spare production capacity,” the minister, attending a climate meeting in Berlin, was quoted as saying in the statement………………………………………..Full Article: Source

Oil price rally is over for 2016, says Vitol boss

Posted on 06 July 2016 by VRS  |  Email |Print

The six-month rally in global oil markets could grind to a halt at a price of $50 a barrel as a string of recent production outages comes to an end, according to the world’s biggest independent oil trading house.
Vitol’s chief executive Ian Taylor said the market may stall at the $50 mark for the rest of the year after a quicker-than-expected recovery, before creeping slowly up to around $60 by the end of next year………………………………………..Full Article: Source

$10 a Barrel Oil Coming Soon? Market Expert Warns the Worst is Yet to Come

Posted on 05 July 2016 by VRS  |  Email |Print

A top oil industry analyst issued an editorial this week suggesting that the recovery of the oil market will be short lived, but is he right? Probably not.
In an editorial this week, acclaimed oil market expert Gary Shilling stood by a prediction he made in August 2015 that oil prices would collapse to $10 per barrel citing higher than expected North American fracking outputs and OPEC’s refusal to limit production………………………………………..Full Article: Source

Saudi energy minister says oil market heading toward a balance

Posted on 04 July 2016 by VRS  |  Email |Print

The energy minister of Saudi Arabia, the world’s largest oil exporter, and the secretary general of OPEC agree that the global oil market is heading toward a balance and that prices are starting to settle, according to comments carried by Saudi state news agency SPA.
The statement said Khalid al-Falih and the Organization of the Petroleum Exporting Countries’ newly appointed secretary general, Mohammed Barkindo, had met in the Saudi city of Dhahran to discuss the role of OPEC in maintaining the stability of oil markets………………………………………..Full Article: Source

How a Brexit Would Impact the Commodities Market (Video)

Posted on 23 June 2016 by VRS  |  Email |Print

Mark Keenan, Societe Generale managing director and head of commodity research - Asia, explains how a Brexit would impact commodities. He speaks with Bloomberg’s Rishaad Salamat on “Trending Business.”.………………………………………Full Article: Source

Iran names new OPEC envoy - oil ministry

Posted on 23 June 2016 by VRS  |  Email |Print

Iran named oil ministry senior analyst Behrouz Beik Alizadeh as its new representative at the Organization of the Petroleum Exporting Countries (OPEC), the ministry’s news agency SHANA reported on Wednesday.
Oil Minister Bijan Zanganeh said in an official statement that Beik Alizadeh would replace Mehdi Asali, who is retiring………………………………………..Full Article: Source

Saudi energy minister says oil glut has vanished

Posted on 23 June 2016 by VRS  |  Email |Print

Saudi Arabia’s new energy minister said the supply glut that kindled a crippling oil rout around the world and thrashed Houston’s biggest business for two years has finally vanished.
“We are out of it,” Khalid Al-Falih said in his first newspaper interview since his rise to the most powerful job in the global energy industry last month. “The oversupply has disappeared. We just have to carry the overhang of inventory for a while until the system works it out.”……………………………………….Full Article: Source

Donald Trump has commodity traders nervous, could impact ag commodities, says analyst

Posted on 22 June 2016 by VRS  |  Email |Print

The controversial rhetoric of presumptive republican nominee Donald Trump has commodity traders nervous, according to one analyst. Pete Johnson, of marketing news publication Cotton Compass believes a Trump presidency could have a negative impact on the price of Australian agricultural commodities like beef, grain and fibre.
Mr Johnson, a market analyst, said Trump had so far shown himself to be hard to predict, which could put pressure on the US dollar and in turn, the international commodity market………………………………………..Full Article: Source

Rosneft’s Sechin says Saudi Arabia, U.S. and Russia call shots on oil markets

Posted on 22 June 2016 by VRS  |  Email |Print

Igor Sechin, the head of Russia’s top oil producer Rosneft, said on Tuesday that Saudi Arabia, the United States and Russia were the three main players on global oil markets, dismissing again OPEC’s role as a regulator. He told Rossiya-24 TV that Russia’s role in hydrocarbon markets will strengthen.
Russia is the world’s top oil and natural gas producer, pumping oil at around 10.8 million barrels per day. It plans to at least keep production of crude oil, its chief export commodity, at the current level………………………………………..Full Article: Source

Will Trump or Hillary Be Good for Precious Metals Prices?

Posted on 22 June 2016 by VRS  |  Email |Print

This year’s presidential election is getting lots of attention, and customers are asking about how the outcome might impact the gold and silver markets. The questions generally fall along two lines. One is whether we think a Donald Trump victory will be good for prices and another regarding what a Hillary Clinton presidency might mean.
There is no telling exactly what either candidate has in store for the nation. And, this year more than most, we can’t even be certain that either of the front runners will win. There is plenty to dislike about both Trump and Hillary and many voters are looking for alternatives. The Libertarian party has become the fastest growing political party in the country………………………………………..Full Article: Source

Father of ETFs urges ever more creative disruption

Posted on 20 June 2016 by VRS  |  Email |Print

Disrupt or die – that was the message to the exchange-traded funds industry from Lee Kranefuss, the man who engineered the ETFs that led to the products’ global success. Although global assets in ETFs have soared to trillions of dollars, there is still immense scope to devise creative versions of the products that subvert conventional approaches to asset management, Kranefuss, chairman of ETF provider Source, said.
Assets will be attracted only by products that are inventive in providing what investors want, he said, warning that cheap copies of ETFs that already exist would not succeed………………………………………..Full Article: Source

Lew warns China not to weaken its currency

Posted on 17 June 2016 by VRS  |  Email |Print

Treasury Secretary Jacob Lew on Thursday warned China not to revert to past foreign-exchange policy in which it kept its currency artificially low to boost its exports.
“Any reversion to the foreign exchange policies and export-led growth model of the past, within the current context of weak global growth, would trigger a new round of tension between our two countries,” Lew said in a speech at the American Enterprise Institute after returning from talks with top Chinese officials in Beijing earlier in the month………………………………………..Full Article: Source

The Big Bet of 2016: Joining George Soros in Gold

Posted on 10 June 2016 by VRS  |  Email |Print

Investors pile into the metal, up 20% this year, and mining stocks, which have vaulted even more. There is a new gold rush on. Abating expectations for Federal Reserve rate increases have fueled a fresh boom in everything that glitters, from gold futures to the shares of gold-mining firms to exchange-traded funds that give traders a way to bet on gold’s daily rise and fall.
Front-month Comex gold futures have been among the best-performing major asset classes in financial markets this year, up about 20% as of Thursday………………………………………..Full Article: Source

New Commodity Super Cycle?

Posted on 09 June 2016 by VRS  |  Email |Print

Barring a large selloff, or economic recession, the evidence suggests we are in the early stages of a new bull market for commodities. Over the past few years, nearly every major global commodity in the world has been in a severe bear market. Gold and Silver both topped out in late 2011 and were in a vicious downtrend/bear market until Q4 2015.
Now, in mid-2016, Gold and Silver are two of the strongest performing asset classes of the year. Other commodities are also emerging from violent bear markets such as: Oil, Soybeans, Wheat, Corn, Sugar, Coffee, just to name a few………………………………………..Full Article: Source

OPEC is finished: Oppenheimer’s Fadel Gheit

Posted on 03 June 2016 by VRS  |  Email |Print

OPEC is a dysfunctional organization that has outlived its usefulness, Oppenheimer senior energy analyst Fadel Gheit said. “OPEC is finished. OPEC is over,” he said. “Shale production has completely changed the way we look at energy and it’s not going to change. The fact of the matter is that OPEC and Saudi Arabia are no longer the swing producers they were only two years ago.”
In its meeting Thursday in Vienna, the Organization of the Petroleum Exporting Countries failed to agree on a new production ceiling and therefore did not change its oil output policy. The cartel has been pumping oil at record levels despite the drop in global crude prices that began in 2014………………………………………..Full Article: Source

UAE minister says happy with oil market

Posted on 01 June 2016 by VRS  |  Email |Print

UAE Oil Minister Suhail bin Mohammed al-Mazroui said on Tuesday he was happy with the oil market, noting that prices had been correcting higher. “We are optimistic. We are seeing that the market is correcting upward,” Mazroui told reporters in Vienna.
Oil ministers from the Organization of the Petroleum Exporting Countries meet on Thursday in the Austrian capital. Oil prices rose on Tuesday, heading for the fourth straight monthly gain, with investors betting on higher U.S. fuel demand as peak driving season arrived in the No. 1 oil consumer………………………………………..Full Article: Source

New Saudi energy minister shows he takes Opec seriously

Posted on 01 June 2016 by VRS  |  Email |Print

For Opec watchers, every little detail matters. When the oil producer group holds its half-yearly meetings, what time the ministers arrive in Vienna, how they speak and which hotel they stay in - anything will be analysed in an attempt to predict its policies.
So it was seen as a sign that new Saudi Energy Minister Khalid al-Falih takes Opec seriously when he turned up in the Austrian capital on Monday, three days before the Organization of the Petroleum Exporting Countries’ upcoming discussions………………………………………..Full Article: Source

Two Lessons on China and Commodities From Legendary Investor Jim Rogers

Posted on 01 June 2016 by VRS  |  Email |Print

Investor Jim Rogers’ comments from years past are still valid in today’s markets. Maybe not tomorrow, but eventually, China will devalue its currency. And prices for uranium and coal and other undervalued commodities will recover. That’s because, in the end, markets always win.
That’s the application of some of the sage advice from the books of legendary investor Jim Rogers. Rogers co-founded the Quantum Fund, one of the world’s most successful hedge funds, in the early 1970’s. He quit full-time investing in 1980 after generating returns of 4,200% over 10 years………………………………………..Full Article: Source

Sberbank CEO: Oil price of $45 per barrel to boost Russian economy

Posted on 31 May 2016 by VRS  |  Email |Print

Russia’s economy may grow next year if oil prices stay at around $45 per barrel, Sberbank CEO Herman Gref said. “If the curernt trend continues, and the oil price will be around $45 per barrel,… next year, most likely, we will be a small growth of the Russian economy,” he said.
Gref added that oil price in 2020 could reach $60 per barrel, and by 2024 could increase to $80 per barrel. On May 26 the price of Brent crude oil exceeded the mark of $50 per barrel for the first time since November 4, 2015. The maximum price for July Brent crude oil futures contract reached $50.08 per barrel, according to the London’s ICE Futures Europe………………………………………..Full Article: Source

The Real Question for OPEC: Who’ll Be Its New Top Official?

Posted on 30 May 2016 by VRS  |  Email |Print

As internal opposition to Saudi Arabia’s plan to squeeze rival suppliers fades, OPEC might not have a big policy question to debate when it meets next week. Nevertheless, the group will still have one thing to argue about: Who will replace Abdalla El-Badri as the next secretary-general?
El-Badri, a Libyan, was originally due to stand down in 2012 after serving the maximum six years in the position. The group has been extending the 76-year-old’s term ever since as squabbling members failed to agree on a successor………………………………………..Full Article: Source

OPEC Likely to Choose New Secretary-General Next Week

Posted on 27 May 2016 by VRS  |  Email |Print

Abdalla Salem el-Badri has been set to retire since 2013 but has stayed on because the fractious oil cartel has been unable to agree a new leader. The Organization of the Petroleum Exporting Countries is likely to choose a new secretary-general at its meeting next week, the only concrete action the cartel is expected to take, said national delegates of the group.
The 13-nation group that controls more than a third of the world’s crude-oil output has been unable to agree on much since petroleum prices began a long swoon nearly two years ago. Once able to swing production up or down to influence prices, OPEC has stayed on the sidelines during this downturn as an American oil boom floods the market and prices remain far below what the group’s members want………………………………………..Full Article: Source

After the gold rush — Paul Rollinson

Posted on 23 May 2016 by VRS  |  Email |Print

When Paul Rollinson took over as chief executive of Kinross Gold four years ago the end was in sight for the biggest gold boom in history — and for some of the people who were part of it. After rising 500 per cent in a decade, the market price of the precious metal had peaked. In the rush to exploit the boom, mining investments and costs had spun out of control.
Investors in gold miners such as Kinross, which had lavished $11bn on acquisitions in six years and was already writing off part of that spending, were in revolt. Tye Burt, Mr Rollinson’s predecessor, was among a score of mining chief executives to lose their jobs………………………………………..Full Article: Source

Oil market unlikely to rebalance fully by year-end: Total CEO

Posted on 19 May 2016 by VRS  |  Email |Print

Oil demand in 2016 will stay strong, supporting prices, but the market is unlikely to rebalance by the year end, the chief executive of French oil and gas major Total said. Patrick Pouyanne told a French Senate committee that oil demand rose sharply in 2015 to 1.8 million barrels per day (bpd), increasing at about 2 percent in a single year.
“This year, experts see demand at about 1.2 million barrels per day,” Pouyanne said. “Me and my team see it at about 1.4 million barrels per day, which is still strong and means the market is rebalancing, but will not rebalance completely by the end of the year, however, it will somehow support prices,” he added………………………………………..Full Article: Source

Russia’s Novak: Global oil market won’t balance before H1 2017

Posted on 13 May 2016 by VRS  |  Email |Print

Russian Energy Minister Alexander Novak told reporters on Thursday that the global oil surplus stood at 1.5 million barrels per day (bpd) and that the market might not balance out until the first half of 2017.
A deal to freeze oil output by OPEC and non-OPEC producers fell apart last month after Saudi Arabia demanded that Iran join in, ruining any chance of sealing what would have been the first such cooperation plan in 15 years. “This (the forecast that the market won’t balance until the first half of 2017) is an optimistic forecast as oversupply persists and the decline in production volumes is slower than analysts expected,” he said………………………………………..Full Article: Source

What OPEC Has To Fear From The New Saudi Oil Minister

Posted on 11 May 2016 by VRS  |  Email |Print

In a surprise move, Saudi Arabia sacked its long-time oil minister over the weekend, an event that illustrates the near-total control that the new young Saudi prince has obtained over the country’s energy industry.
For many years, Ali al-Naimi, the outgoing Saudi oil minister, was the voice of Saudi Arabia’s oil industry and policy. Even seemingly insignificant remarks from al-Naimi could move oil prices up or down. But the 80-year old oil minister has seen his power eclipsed by the 30-year old Deputy Crown Prince Mohammed bin Salman………………………………………..Full Article: Source

OPEC is dead, says Rosneft

Posted on 11 May 2016 by VRS  |  Email |Print

The Organization of the Petroleum Exporting Countries (OPEC) has virtually ceased to exist as a single institution able to influence the oil market, said Rosneft CEO Igor Sechin in an interview to Reuters, published on Tuesday.
“The 1970s, when the larger Middle East producers could determine the global oil market by creating cartel structures such as OPEC, should be forgotten,” Sechin told Reuters. He added that Rosneft had been skeptical about the chances of a positive result from the meeting in Doha on April 17, where OPEC and non-members were trying to agree to freeze production at January levels………………………………………..Full Article: Source

OPEC is dead, says Rosneft

Posted on 11 May 2016 by VRS  |  Email |Print

The Organization of the Petroleum Exporting Countries (OPEC) has virtually ceased to exist as a single institution able to influence the oil market, said Rosneft CEO Igor Sechin in an interview to Reuters, published on Tuesday.
“The 1970s, when the larger Middle East producers could determine the global oil market by creating cartel structures such as OPEC, should be forgotten,” Sechin told Reuters. He added that Rosneft had been skeptical about the chances of a positive result from the meeting in Doha on April 17, where OPEC and non-members were trying to agree to freeze production at January levels………………………………………..Full Article: Source

Oil ouster: Three things Saudi Arabia needs to do now

Posted on 10 May 2016 by VRS  |  Email |Print

Ali al-Naimi, who was Saudi Arabia’s oil minister for more than 20 years, was virtually the face of the oil markets during that time. His ouster over the weekend roiled the oil market.
For many in the industry, al-Naimi represented stability and moderation in the inherently chaotic ebbs and flows of oil markets. The minister championed Saudi interests, but always within an eye to balancing the needs of OPEC producers and the world’s consumers………………………………………..Full Article: Source

Oil price lows to drag on after Saudi minister is ousted

Posted on 09 May 2016 by VRS  |  Email |Print

Saudi oil minister Ali al-Naimi, who was leading calls to help rebalance the struggling oil market, has been ousted by the government in a move which could signal a slower price recovery. The highly influential Mr Naimi will be replaced after twenty years by the chairman of the state oil company Saudi Aramco, Khalid al-Falih, scuppering hope that the world’s major oil producing nations might agree to freeze output in a bid to raise prices in the oversupplied global oil market.
Earlier this year oil prices rallied almost 40pc from twelve year lows after Mr Naimi said that members of the Organization of Oil Producing Countries (Opec) would meet with non-Opec oil producers in Doha to thrash out a production freeze deal………………………………………..Full Article: Source

Saudi Shift Brings Uncertainty on Oil

Posted on 09 May 2016 by VRS  |  Email |Print

The dismissal of Saudi Arabia’s long-serving and influential oil minister ushered in a new wave of uncertainty for oil prices, which have rallied lately but could change course depending on the kingdom’s policies.
To some, the removal of Ali al-Naimi after 20 years as oil minister cemented the grip of 31-year-old Deputy Crown Prince Mohammed bin Salman on Saudi Arabia’s energy policy. Some officials at the Organization of the Petroleum Exporting Countries said that could mean a deeper politicization of oil-production strategy as the kingdom looks to neutralize its rival Iran, which is trying to come back from years of Western sanctions with a surge of output………………………………………..Full Article: Source

Adieu to Al Naimi

Posted on 09 May 2016 by VRS  |  Email |Print

After 20 years, OPEC bids adieu to Saudi Arabia oil supremo. Saudi Arabian Oil Minister Ali al-Naimi, the architect of the 2014 switch in OPEC policy that’s since roiled the energy market, companies and entire economies from Mexico to Nigeria, is leaving his post.
An 80-year-old who rose from modest Bedouin roots, al-Naimi headed the ministry for almost 21 years, steering the world’s largest crude exporter through wild price swings, regional wars, technological progress and the rise of climate change as a key policy concern. “During my seven decades in the industry, I’ve seen oil at under $2 a barrel and $147, and much volatility in between,” al-Naimi said. “I’ve witnessed gluts and scarcity. I’ve seen multiple booms and busts.”……………………………………….Full Article: Source

The most powerful man in oil is out - here’s what comes next

Posted on 09 May 2016 by VRS  |  Email |Print

Ali al-Naimi was the most powerful man in the oil business for two decades - until this weekend. As the oil minister of Saudi Arabia, in control of the largest proven crude reserves in the world, al-Naimi was the de-facto leader of OPEC.
At one point he held three key positions at the same time: Minister of petroleum, chairman of Saudi Aramco and chairman of Saudi’s Supreme Petroleum Council. In a word, he called the shots, and he let other OPEC ministers know just that. The past year and a half had been particularly important, as oil prices crashed and oil-dependent countries looked to Saudi Arabia to lead the effort to support prices………………………………………..Full Article: Source

Saudi Arabia Is Getting Ready For “Peace” In The Oil Market, For Now

Posted on 09 May 2016 by VRS  |  Email |Print

A shake-up in the Saudi government over the weekend, which included the replacement of oil minister Ali al-Naimi by Khaled al-Faleh, signals that the Kingdom is ready for peace in the oil market.
Long serving oil minister Ali al-Naimi was the architect of Saudi Arabia’s policy to flood world markets with oil in an effort to halt the American fracking revolution and to undermine Iran’s re-entry into world markets after the lifting of sanctions………………………………………..Full Article: Source

OPEC Set to Hold Fast on Policy Following Saudi Oil Minister’s Exit

Posted on 09 May 2016 by VRS  |  Email |Print

The dismissal of Ali al-Naimi as Saudi Arabia’s oil minister puts the country’s deputy crown prince firmly in control of energy policy and makes an agreement to freeze oil production less likely when the Organization of the Petroleum Exporting Countries meets next month, OPEC officials said.
Prince Mohammed bin Salman, second in line to the throne, has taken a hard line on Saudi oil policy, doubling down on the kingdom’s strategy of maintaining high crude output in the face of collapsed prices………………………………………..Full Article: Source

Jim Rogers Says China Right to Cool Casino-Like Commodity Frenzy

Posted on 05 May 2016 by VRS  |  Email |Print

Veteran investor Jim Rogers says that authorities in China are right to tackle the frenzy of speculative investing that’s broken out in the nation’s commodity futures markets, warning that a failure to act would have stored up problems.
“China is doing their best to cool it off and calm it down,” Rogers, Singapore-based chairman of Rogers Holdings, said in an interview. “That’s good, because over-speculation in anything leads to problems, especially if people don’t know what they’re doing.”……………………………………….Full Article: Source

Jim Rickards says for gold prices will go higher as dollar weaken

Posted on 04 May 2016 by VRS  |  Email |Print

Gold prices, fresh from Monday’s 15-month high, look set for further gains as the dollar weakens, according to author and gold markets expert Jim Rickards. Spot gold hit $1,303.6 an ounce on Monday, its highest price since January 2015, and has since come off to trade around $1,295 an ounce on Tuesday morning in Asia.
But Rickards, who is the author of “The New Case for Gold,” published last month, as well as 2011 best-seller “Currency Wars: The Making of the Next Global Crisis,” said gold was “going to go a lot higher.”……………………………………….Full Article: Source

Harvard Professor Urges EMs To Buy Gold

Posted on 04 May 2016 by VRS  |  Email |Print

Emerging market economies need to shy away from the U.S. dollar and U.S. treasuries, and instead invest more in gold, this according to one Harvard profession.
Tuesday, in a commentary for Project Syndicate, Kenneth Rogoff, professor of Economics at the Ivey League university and former chief economist at the International Monetary Fund, recommended that emerging economies boost their gold reserves to about 10%, which would still keep them below some developed country’s gold reserves………………………………………..Full Article: Source

Oil market to face lack of supply in 3 years: Total CEO

Posted on 29 April 2016 by VRS  |  Email |Print

The global oil market will face a lack of supply in three years’ time due to expenditure cuts and postponements in mega projects, Patrick Pouyanne, chairman of the Board and CEO of French oil giant Total said.
Speaking at 2016 Columbia Global Energy Summit, Pouyanne talked about the difficulties that oil companies are facing under low oil prices. “Fifteen days after I became the CEO of Total, oil prices collapsed … and we lost $10 billion in cash flows in two months,” he said. “Due to the huge drop in oil prices, most of the players had to squeeze their cash flows and investments,” he added………………………………………..Full Article: Source

How Smart People Mess Up Investing In Commodities (Video)

Posted on 20 April 2016 by VRS  |  Email |Print

Why is it that so many seasoned investors mess up when they decide to enter the commodities market? Otherwise smart people seem to lose all reason and are frequently left with a handful of nothing.
I sat done recently with veteran commodity markets investor Jeff Christian to discuss this matter. His experience goes back decades to the 1970s commodities boom and then he survived the two-decade bear market which lasted from 1980 through the turn of the millennium………………………………………..Full Article: Source

Gold will soar 700% in near future

Posted on 14 April 2016 by VRS  |  Email |Print

An economist has claimed gold will soar in value in the coming years and cited cyber warfare as the number one reason people will pile into the commodity. James Rickards, chief global strategist at West Shore Funds, told Bloomberg Markets that the 21st century cyber age poses risks to digital money and wealth to all investors and savers.
He claims gold will climb to $10,000 an ounce if confidence in currency collapses, which he believes could happen as a result of another financial crisis. The precious metal is currently trading around $1,250 an ounce. ……………………………………….Full Article: Source

Dead wrong: Osama bin Laden bet that gold was going to $3,000

Posted on 07 April 2016 by VRS  |  Email |Print

A year before Navy SEALs stormed his compound and put an end to Osama bin Laden, the al Qaeda leader was puzzling over a question with which every investor is familiar: where to put his cash. The decision made was to put the money into gold and coins. Osama bin Laden — the gold bug.
“The overall price trend is upward,” the terrorist leader wrote in a letter to Atiyah Abd al-Rahman, the al Qaeda general manager, according to the New York Times. “Even with occasional drops, in the next few years the price of gold will reach $3,000 an ounce.”……………………………………….Full Article: Source

A former Opec insider tells how global oil pricing got flipped on its head

Posted on 04 April 2016 by VRS  |  Email |Print

From 2004 to 2008 and 2010 to 2014, oil production and prices both rose. The price increases were completely divorced from the market principle of a supply-demand balance. In the middle of 2014, the price momentum ran out of steam and prices began sinking in a bog of unconsumed, overproduced, expensive new oil.
That market disorder should have been a reason for concern. Unfortunately, greed suppressed the voices that raised the alarm and warned of the long-term dangers of short-term gains………………………………………..Full Article: Source

FG nominates Barkindo for OPEC secretary-general

Posted on 01 April 2016 by VRS  |  Email |Print

The Federal Government has put forward the name of a former Group Managing Director of the Nigerian National Petroleum Corporation, Mohammed Barkindo, for the position of Secretary-General of the Organisation of Petroleum Exporting Countries.
Barkindo worked at NNPC until 2010 and served as acting secretary-general of OPEC in 2006, as well as representing Nigeria at the group. Bloomberg reported that two persons privy to the development confirmed the nomination but asked not to be identified because it had yet to be made public………………………………………..Full Article: Source

Stevens Says Australia Coping With Commodities, Has Policy Scope

Posted on 23 March 2016 by VRS  |  Email |Print

Australia’s economy is “adjusting quite well” to lower commodity prices and has more fiscal and policy scope to respond to a global downturn than most countries, Reserve Bank Governor Glenn Stevens said.
Stevens’s speech spanned possible international shocks that ranged from the plunge in oil prices to weaker world growth — including China’s slowdown — to navigating global monetary policies. He noted that the global banking system is far more resilient than it was eight years ago………………………………………..Full Article: Source

Mitsui chief sees upside of commodities downturn

Posted on 22 March 2016 by VRS  |  Email |Print

One of the biggest and oldest foreign investors in the resources industry says the commodities downturn is an opportunity to roll out a new wave of labour-saving technology across the industry rather than a cause for gloom.
Mitsui & Co Australia chairman Yasushi Takahashi says the future of the mining industry is much greater automation that will allow more employees to operate remote equipment from distant locations, which will mean less need for fly-in fly-out workers………………………………………..Full Article: Source

OPEC’s Badri hopes for positive producer meeting in April, says Iran could join group later

Posted on 22 March 2016 by VRS  |  Email |Print

Iran may join other oil producers planning to freeze production to support prices at a later date, OPEC’s secretary general said on Monday, since the country is seeking to raise its exports. Producers from the Organization of the Petroleum Exporting Countries and non-members are due to meet on April 17 in Qatar discuss the output freeze.
But Iran is seeking to increase exports, following the lifting of Western sanctions in January. “I hope the result of the meeting will be positive,” Abdullah al-Badri said at a news conference in Vienna. “They are not objecting to the meeting but they have some conditions for the production and maybe in the future they will join the group,” he said of Iran………………………………………..Full Article: Source

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