Posts By: Matt Insley
Bloomberg reports that global platinum stockpiles may soon be depleting amidst the ongoing labor strikes at South Africa’s largest mines. The stockpiles were intended to keep up supply in just such a scenario, but strikes have lasted longer than expected and deliveries may be disrupted beginning in April.
Crude prices closed at nearly $105 dollars yesterday after nearly five months of double-digit prices. MarketWatch analysts cited concerns that a potential Russian invasion of Ukraine could see world supply cuts due to military action or political reprisals. U.S. natural gas price remained stable however, thanks to an abundance of domestic supply.
“Prices of the radioactive metal are forecasted to climb more than 40 percent by the end of the year as Japanese power plants restart nuclear reactors that have been shut down since the March 2011 earthquake and tsunami in Fukushima. The rebound in uranium demand may fuel takeovers as buyers try to get ahead of [...]
The U.S. Transportation Department recently issued an order that will require U.S. energy companies using rail to carry crude to “test the chemical composition of all crude intended for shipment by rail”, reports Bloomberg. According to Marvin Trimble, director of commercial development for Strobel Starostka Transfer Canada Ltd, the order will “reclassify some grades of [...]
I’m hoping you weren’t bitten by Bitcoin’s big announcement this week. In short, the cybercurrency darling Bitcoin had a MAJOR setback. We’ll cover some of the important details today — plus, we’ll take a look at a safer place to stock your money than the latest currency du jour. According to CNN Money, “The Bitcoin [...]
“Natural-gas futures on Monday dropped 11%,” reported MarketWatch, “suffering a hefty retreat after an even bigger-sized climb last week as traders readied for this week’s options and futures expirations for the March contract.” However, futures remained more than twice the 2012 average at $5.44, as traders expect increased demand on forecasts of one more winter [...]
According to Platts, British energy policy won’t support the country’s new shale industry in 2014. “The UK government believes there is much greater opportunity in developing the North Sea’s remaining oil and gas resources than in the fledgling onshore shale gas sector, and plans to implement speedily recommendations laid out in a final report on [...]
“U.S. Steel Corp. (X), the nation’s largest producer of the metal by volume, fell the most in 17 months after the Department of Commerce rejected its claim that South Korea is selling steel tubing into the U.S. below cost,” reports Bloomberg this week. The ruling is expected to be “marginally negative” for U.S. producers of [...]
Ernest Moniz, secretary of the U.S. Department of Energy, will push for new pipelines instead of new railways this year. According to Reuters, “He said the infrastructure is ‘not there’ to handle the surge in North Dakota Bakken oil production from near zero to 1 million barrels per day (bpd). ‘Frankly, I think pipeline transport [...]
Mexico’s government-controlled oil industry will raise prices on oil exported to the United States, among other buyers, starting in March. According to Platts, “The differential for Maya [oil] deliveries in the Americas in March was hiked to minus $3.55/barrel from minus $4.70/b in February… deliveries to the US West Coast… rose by $1.05/b to a [...]
After surging 7.3 percent on a looming emerging markets crisis, gold got another boost this week from comments uttered by the new chairman of the Fed, Janet Yellen. “Gold headed for the longest rally since August 2012,” reported Bloomberg, “as Federal Reserve Chairman Janet Yellen said more work is needed to restore the labor market, [...]
I don’t always get fired up on the phone with my dad, but when I do it’s normally about investing. This week’s topic was the debt ceiling, Janet Yellen and the market that just won’t quit. For a long-term look at where I think you should put your money and why the largest bubble we’ve [...]
Gold futures added 2% for the week ending Feb. 7, thanks in part to labor data, analysts said. “Prices for the precious metal had risen by more than $14 an ounce immediately after the jobs report,” noted MarketWatch, “then trimmed over half that gain as U.S. equities climbed and investors saw some upbeat aspects to [...]
A milder forecast is putting continued pressure on natural gas futures, after January’s dramatic cold streak brought stockpiles to a 10-year low. “Gas dropped as much as 3.9 percent as forecasters including Commodity Weather Group LLC said below-normal temperatures across most of the lower 48 states through Feb. 16 will give way to more seasonal [...]
This week Zinc rallied from a 6.6% decline, a 25-year record loss, in the face of drastically declining supply. “A global production deficit will widen this year to 120,000 metric tons, from 20,000 tons in 2013, Morgan Stanley said in a Jan. 22 report, forecasting a 10 percent gain in the average cash price,” Bloomberg [...]
Thursday’s jobs report helped push oil higher on expectations of increased demand, wrote MarketWatch. “The number of people who applied to receive unemployment benefits in the last week of January fell by 20,000, signaling that the U.S. labor market continues to gradually improve.” However, natural gas futures fell as winter storms, which had brought on [...]
I’m going to keep today’s issue short, but it’s packed with four great buying opportunities. You see, while the market is seemingly filled with doom and gloom there’s huge opportunity for a sustained rally in a hand full of our favorite companies. And while other folks grasp at straws and develop bear theories because of [...]
“Gold prices ended the U.S. day session modestly lower Tuesday, pressured by a rebound in the U.S. stock market and a firmer U.S. dollar index,” reported Kitco. Analysts noted that widespread concern over troubled foreign currencies — which helped strengthen the dollar, usually a bad sign for gold — actually supported the Midas metal as a safe haven while emerging markets crash.
According to analysts at CME Group, “Volatility in the natural gas market due to frigid temperatures in January has led to a 30% increase in the average daily volume for natural gas futures and options,” reports Platts. The group also noted that its addition of natural gas futures to its electronic trading platform had a significant impact on trading volume.
China’s first economic contraction in six months has solidified copper’s longest decline in more than 18 years, according to Bloomberg. “A Purchasing Managers’ Index slid to 50.5 in January from 51 in December, China’s statistics bureau and logistics federation said on Feb. 1, nearing the level of 50 that divides growth and shrinkage.” Copper has fallen for nine consecutive sessions as China’s markets remain closed for the Chinese New Year.
“Oil futures settled lower on Monday,” MarketWatch reports, “as a gauge on U.S. manufacturing showing a drop in January and continued economic concerns over emerging markets pushed prices to their lowest close in a week.” The ISM index, calculated by the Institute for Supply Management, reported that from December to January, U.S. industrial output fell from 56.5% to 51.3%, nearly 10 times the forecast.
If support holds for gold at $1,200 there’s one sector that’s poised to profit. You see, a steady price per ounce makes the math for junior miners much easier. It’s this “easy math” that spurs traders back into the sector. That is, prior to $1,200 support no one wanted to catch the dagger and try to bet on where gold prices would land. Without reliable gold price forecasts many traders won’t even touch miners! But today that’s all changed. Here’s a junior miner that could catch a bid…
Keystone may gain traction after all, writes MarketWatch. “The report found that the “approval or denial of any single project is unlikely to significantly affect the rate of extraction of the oil in the oil sands, or the refining of heavy crude on the U.S. gulf coast,” a State Department official told reporters Friday.” However, the report doesn’t specifically recommend approval of the pipeline, according to sources. Stay tuned!
Even as Keystone gets a small boost from an environmental report this week, another pipeline plan, this one intended for the Bakken, fell through. “It is the second major Bakken pipeline project to be canceled,” reports Rigzone, noting that while Koch Pipeline Co. LP did not explain why the project was cancelled, “Oil producers and shippers have instead relied increasingly on rail to move Bakken crude to markets, especially to refineries on the East and West coasts.”
On Friday the State Department released its environmental impact report on the Keystone XL pipeline. In short, the report concluded that the Keystone XL pipeline, which brings Canadian crude oil to the U.S., will have a negligible effect on climate change. This is huge news for America’s energy future. And while this is a great step forward for U.S. energy it’s a MASSIVE leap ahead for Alberta’s energy industry.