Anyone involved in the markets knows that commodities have been badly beaten down, with many individual commodities trading at multi-year lows. According to index measures, the group now trades at its lowest level in more than a decade. Yet the index values apparently overstate the decline. For one, the index tracks prices set on exchanges, subject to traders’ whims and speculation. Additionally, the indexes (for good reason) tend to give a lot of weight to oil, which means oil’s collapse over the past year has magnified commodities’ woes. Read more about Oil to Lead the Way 07-28-15
Yesterday witnessed a rout in the precious metals markets. At one point, gold dipped well below $1,100 before recovering somewhat to close above that mark; nevertheless it now sits at a five-year low. Within a span of a few minutes, gold fell by $45 on the Shanghai Gold Exchange (SGE). A curious dump of close to 5 tons of gold, roughly one-fifth of the typical trading volume in a single day, rattled the market. At around the same time as that gold trade, an unusual volume spike of some 7,600 gold futures contracts traded on the New York-based Commodity Exchange. Read more about China's Gold 07-21-15
The Greek leaders tried to drive a hard bargain, hoping that the threat of mutual financial and economic harm would force the Europeans to ease their austerity demands, but as it turned out, the Greeks in the end simply had more to lose if the country is forced to leave the euro. Without the prospect of help from another source, Greek Prime Minister Alexis Tsipras had no choice but to accept a deal on Europe’s terms. Read more about A Sigh of Relief 07-14-15
Over the July 4th weekend, the Greek people headed to the polls to vote on whether to accept austerity demands from their country’s international creditors. Although the vast majority of Greeks want to stay in the euro zone, more than 60 percent of voters agreed with Prime Minister Alexis Tsipras and rejected the austerity proposal. Read more about Overseas Turmoil Causing Investor Jitters 07-07-15
Tomorrow morning we will publish the July 2015 issue of The Cash Cow. We will recommend a brand new ETF that allows investors to invest in renewable energy without the risks normally associated with renewables.
We will also take a look at the latest developments in the Greek default crisis and whether our indicators are predicting a major impact on the stock, bond, and precious metals markets. Read more about July Issue to Publish Tomorrow 06-30-15
After weeks of foot dragging and finger pointing, and with time fast running out, Greece seems to have budged toward compromise. The country has upped its offer for additional austerity measures, including income and consumption tax hikes, in hopes those measures will satisfy creditor demands. Read more about Greece Offers Olive Branch 06-23-15
The future looked a little less certain this week as Greece and the European community seemed to have reached an impasse over terms for an extension of credit for the beleaguered Mediterranean nation. The euro, not surprisingly, dipped, and U.S. Treasury securities increased today. In Europe, stocks attempted to recover, alongside German bunds.
Here in the U.S. stocks are rallying today as the optimists prevail. The last few days, just the opposite was happening, with the Greek saga dominating the headlines, although the story there didn’t really change. Read more about Expect Volatility and Growth Too 06-16-15