Introduction
Exactly a year ago, I wrote about how between mine closures with limited mine openings and increasing demand, a supply gap in the zinc market was about to be created (article available here). Since then, zinc prices are up about 20% and were up 46% for a moment in November 2016. More →
Approaching The Current Market Risk Reward Puzzle
A recent Wall Street Journal article raised the question of whether investors looking to get into the market now are too late for the Dow 20,000 party. Many investors watched the 7-year stock bull market from the side-lines after they got burned during the latest financial crisis and didn’t overcome their anxiety and invest again. The article suggested that investing now is a good thing to do if you are a long-term investor. More →
Introduction
In the last couple of weeks, metal prices have moved.
Copper has made an historic surge of 21.5% in the last two weeks, while gold fell 7.5% from its peak.
As Trump won the election, the expectation of intensified construction and increased investments in infrastructure have pushed copper prices higher while gold suffered as the world didn’t come to an end. The short term moves in metal prices aren’t that significant as they are influenced mostly by speculators, but an analysis can show us where the long-term risks and opportunities lie. More →
Introduction
As metal prices are very volatile in nature, it’s important to regularly check on what’s going on in order to see where the greatest opportunities and risks are.
Today we’ll walk through the main investable metals, and look at structural trends, demand and supply balances, and investing opportunities. More →
Introduction
Yesterday we discussed how Treasury Inflation-Protection Securities (or TIPS) are a great protection during times of inflation. Today we are going to take a deeper look into another great inflationary protection, commodities.
The general feeling is that commodities have surged since January, but there is a high level of divergence. This divergence in commodity price movements is due to speculation in some commodities and fundamental reasons in others. More →
Introduction
Diversification is the ultimate protection against various economic factors, in recessions you might want to hold gold or treasuries, in inflationary times you want to be long stocks and commodities. Therefore it is very important to always know what is happening in each potential diversification sector. More →
Introduction
Zinc is the fourth most used metal in the world. It is mostly used for steel galvanization – the process of corrosion-resistant zinc plating. Other uses include alloys such as brass, and dietary supplements. More →
