Sun, Apr 20, 2014
A A A
Welcome kbr175@gmail.com
RSS
Commodities Briefing 07.Dec 2011

Posted on 07 December 2011 by VRS |  Email |Print

Malcolm PrestonScarcity of metals and minerals will become more severe in the next five years, with the automotive, chemicals and energy industries likely to be hit hardest, according to a global survey of company executives by PricewaterhouseCoopers (PwC).
The survey of 69 executives across seven sectors, published on Wednesday, found that European companies were most concerned about a shortage, with 71 percent of respondents seeing scarcity as a risk, compared with 53 percent in Asia Pacific and 50 percent in the Americas………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

A “ticking time-bomb” looms over several core manufacturing industries, experts have warned, due to a growing shortage of “rare earth” metals.
Accounts PricewaterhouseCoopers said business leaders in sectors including automotive, chemicals, and energy fear they will be the hardest hit as commodities such as Beryllium, Cobalt and Flurospar become scarcer. The metals are are used as components in items ranging from military equipment to automotive rechargeable batteries………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

Xstrata Plc, the world’s largest exporter of coal used in power stations, expects commodity prices to rise as Europe resolves its sovereign debt crisis.
“When we get out of this uncertainty that Europe and the rest of the world is causing us we’ll see some significant price improvements,” Peter Freyberg, head of Xstrata’s coal division, told reporters in London today. “India and China continue to grow. We remain, in the six-month period, positive.”……………………………………….Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

The global markets are waiting with bated breath for an agreement to be made in the Eurozone. Yesterday’s announcement from Angela Merkel and Nicolas Sarkozy seemed more an attempt to convince investors that European sovereign debt was safe amid whispers about the potential death of the euro.
Until a deal is reached, those threats loom on the financial markets and there are still a portion of people betting on the inevitability of European debt contagion spreading………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

The budgetary needs of Middle Eastern oil producers in the wake of the ‘Arab Spring’ are likely to result in oil prices remaining high, despite the slowdown in the global economy, a natural resources expert has warned.
The comments by Emin Eyi, partner at broker SP Angel Corporate Finance and a fellow of the Geological Society, came after Brent crude for delivery in January edged up 0.2% to $110.03 per barrel……………………………………….Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

With the global economy teetering, the Organization of Petroleum Exporting Countries is coming under pressure to lower the price of oil before another worldwide recession does it for them.
Every recession since the 1970s has been preceded by a spike in oil prices, and it would appear as though we have just experienced another such jump. After dropping below $40 a barrel in early 2009, the price of West Texas Intermediate crude oil almost tripled in the ensuing two years, topping out at $115 a barrel earlier this year before dropping back to its current level of around $100………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

Global oil demand will grow slightly less than previously projected this year and next, the U.S. government forecast on Tuesday, as the weak economy weighs on demand in developed countries.
The Energy Information Administration trimmed both its 2011 and 2012 world oil demand growth forecast by 100,000 barrels per day from its previous monthly estimate………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

Venezuelan President Hugo Chavez on Tuesday called oil prices fair and said his government would push to keep them at current levels, one week ahead of an Opec meeting.
‘Look how it has stabilised in recent months, at 100, 120 (dollars a barrel), and that’s where its fair price is - hopefully it will even out there,’ Mr Chavez told foreign reporters in Caracas………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

China will install wind and solar power capacity equivalent to 180 nuclear power reactors in the next 10 years to meet its growing energy needs, the International Energy Agency said on Monday, citing its latest estimate.
Fatih Birol, chief economist at the IEA, also told Reuters that one in two of all hybrid cars or cars powered with natural gas or electricity will be sold in China in the next 20 years, even without a binding climate agreement………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

The outlook for Gold is bullish for 2012. The European debt crisis, which dominated 2011, will continue to hang over markets in 2012. I’m extremely bearish on Europe. The political and financial systems are inadequate to deal with the serious fiscal and sovereign-debt problems the old continent faces.
The risk of contagion is large and the safety mechanism is convoluted (too many countries with too many conflicting interests). Europeans don’t have a handle on the situation; some banks and countries are already insolvent. The situation is extremely precarious………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

Gold is higher by 20% this year but the large cap gold stocks (GDX) are down 6% while the junior gold stocks (ETF) are down 25%. With gold higher by 20%, we’d normally expect the gold stocks to be up 50% and more.
Needless to say 2011 has been a difficult year for gold bugs. It’s been a near disaster for most junior gold stocks. That being said, there are important but often ignored reasons why the gold shares have underperformed this year and reasons to consider why a big move may be only months away………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

Tom Price, Global Commodity Analyst at UBS AG, says uncertainty in the global economy will see the price of gold reach an annual average of $2,075 next year.……………………………………….Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

The skyrocketing price of gold has led to a rush on the precious metal in the United States and throughout the world, but some of the mining involves child labor and a dangerous process involving mercury. NBC News Chief Foreign Correspondent Richard Engel journeys to Mali’s artisanal gold mines.……………………………………….Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

Even though short-term weakness exist, Gold remains extremely bullish given the supportive macro environment and strengthening investment demand, Barclays Capital said in a research report.
Strong US payrolls data indicates that the US economy is experiencing accelerated growth into the year end and promises strong labour markets in the months to come………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

Gold rose on Tuesday, reversing initial losses after Standard & Poor’s threatened to downgrade the entire euro zone including the region’s core economies and its financial rescue fund.
Bullion climbed as investors covered bearish positions following the previous session’s sharp losses. The precious metal, which has recently followed the equity markets, was also supported by U.S. stocks which turned higher late in the session……………………………………….Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

Eric Sprott, founder and CEO of Sprott Asset Management believes that silver miners should invest in the commodity that they produce. Last week, Sprott announced that he was going to urge producers to do just just that—stop selling all of their silver for cash and instead, retaining a portion as reserves.
“I’m writing a letter basically suggesting to the silver producers, you guys have all this money. Why do you have it in banks? Put it in silver,” Sprott said on King World News. “It’s a way better asset than having a bank deposit that pays zero interest rates and you take all the risk of the bank on.”……………………………………….Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

Gold exchange traded funds have seen volatility pick up in the back half of 2011 due to speculation over more central bank easing, Eurozone debt worries and margin hikes on futures contracts.
Yet the precious metal is above $1,700 an ounce and gold ETFs are up 20% this year to trounce stocks………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

As the ETF world has grown by leaps and bounds in recent years, a variety of products have hit the market giving investors exposure to a number of sectors across the globe. While the vast majority of these products are exchange-traded funds, a few are what is known as exchange-traded notes or ETNs.
These notes are structured as senior, unsecured, unsubordinated debts issued by a major bank. These notes have a maturity date and are built to give investors exposure to various benchmarks—be it in the commodity, equity, or bond space—less investor fees………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

2011 has been arguably one the busiest ever for the ETF industry, as we are on pace to break through 300 new launches for the year. As we rapidly approach 1,400 total funds in the space, it can be a daunting task to try and keep up with the tidal wave of new products that seem to hit the market each week.
For those who have been overwhelmed by this year’s debuts, they may be missing out on a number of new and innovative products. Below, we outline the ETF firsts that 2011 brought to better educate investors on the options that currently exist………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

Investors are pricing in sizable currency volatility in 2012 - and that has trading implications for you.
Currencies sure have had quite a year - but there isn’t much to show for it, says Alan Ruskin, global head of G10 FX strategy at Deutsche Bank. “We now have every G10 currency, barring the yen, within 2% of its starting point versus the dollar,” he wrote in a note to clients. And 2010 wasn’t all that volatile either, he says………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

“The British Pound remained broadly unchanged against the Euro this morning, but weakened against the U.S Dollar, as risk appetite deteriorated following the announcement yesterday that Standard & Poor’s has put 15 European countries on watch for a potential downgrade in their respective credit ratings,” says an exchange rate note from Adam Solomon at TorFx.
European stocks slumped on the news, as did the FTSE 100 Index, while Asian shares also fell, increasing demand for the Dollar and the Yen as a haven………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

After registering unsustainably highs levels, world cotton prices have faced a sharp correction in recent months following a healthy change in the market fundamentals.
From a tight demand-supply balance in 2010-11, the world cotton market has got into a state of surplus in 2011-12 thanks to a big rebound in output. Ending stocks are expected to show a substantial increase………………………………………..Full Article: Source

Posted on 07 December 2011 by VRS |  Email |Print

Andreas Maag, Executive Director, EMEA & APAC Head of Precious Metals Sales, UBS Investment Bank share his expertise on why the price of gold has retreated from its 1912 high, why he believes there is upside price potential, why volatility in gold prices is here to stay - how it can be navigated, and where the investment opportunities lie.……………………………………….Full Article: Source

See more articles in the archive

banner
banner
April 2014
S M T W T F S
« Mar    
 12345
6789101112
13141516171819
20212223242526
27282930