When we pointed out yesterday that “world-renowned commodity guru” Dennis Gartman remained bearish of oil, we quoted him as saying that “it has been our intention all along to await the opportunity to sell crude oil short on protracted rally and we are getting that rally as we write. We can be patient a while longer.” His patience lasted less than 24 hours, because one day later – as oil is on the cusp of extending its bullish run for a near record 9th consecutive day – Gartman, said this morning that “the time then has come to be short of crude oil once again.” The section of note: CRUDE OIL ...
The USD/JPY is at an important crossroad. Any pull back from current levels is justified for the short-term but could also be seen as a false break out above the medium-term resistance trend line. So far on a monthly basis the USD/JPY is respecting the monthly Kumo (cloud) support and has bounced off it. Will it do the same and start a new up trend towards 127 or will it reverse from current levels for a new downward move towards 94? As long as price is above 110-111 bulls are safe. A monthly close below 111-110 will open the way for a push lower towards 101 at least. If USD/JPY is about to make a similar leg down to the decline of 125-99...
The latest gold price action is a near-perfect reflection of the current market fundamentals. Gold has arrived at my $1220 – $1200 conservative investor buy zone. The market is seasonally soft in the summer months, but two key price drivers are poised to create the next rally. The first is the US jobs report. It’s scheduled for release on Friday at 8:30AM. Market participants are going to be looking at wage price inflation as much as they are looking at the total number of jobs created. Gold has a rough general tendency to soften ahead of this report, and then rally strongly following its release. The $1220 – $1200 su...
On Tuesday, the centre of attention for traders is the Australian currency. Before the RBA published their interest rate decision, the Aussie dollar was trading at 0.7680 against its American counterpart, having gained some strong support from strong retail sales data for May. Then, it became clear that the RBA would keep interest rates at their current level of 1.5%. On this news, the AUD/USD pair fell 60 pips to 0.7621. Following the Aussie’s lead, the pound and both euro also fell against the US dollar. Market participants didn’t like the RBA’s rhetoric. The regulator made clear that the current parameters of the bank’s monetary po...
Value investing is easily one of the most popular ways to find great stocks in any market environment. After all, who wouldn’t want to find stocks that are either flying under the radar and are compelling buys, or offer up tantalizing discounts when compared to fair value? One way to find these companies is by looking at several key metrics and financial ratios, many of which are crucial in the value stock selection process. Let’s put Apple Inc. (AAPL – Free Report) stock into this equation and find out if it is a good choice for value-oriented investors right now, or if investors subscribing to this methodology should look else...
What we have is a totally propped-up market based upon debt. Energy isn’t producing positive growth, really. So instead of having real economic growth, we have inflated economic growth and inflated asset values. When growth starts to decline, I think we’re going to see the valuations of assets decline considerably. It’s anyone’s guess how quickly they can fall, but according to what I have been looking at, I think we are going to see a 50% increase in real estate values right off the bat. I am not saying this will happen in a day, but the first wave will be a 30-50% decrease in real estate values when the markets really start to crac...
We walk the road less-traveled. British fund management overseers are under attack for allowing the asset managers they regulate to overcharge by claiming to offer expert stock-picking, and in fact then to only passively copy an index. Moreover they charge high fees to small investors for their “closet tracking”, about triple what large institutions pay for the same portfolios. Fees are so high that the operating margins of fund managers listed in London is 36% compared to only 14% in sectors like technology or pharmaceuticals. Of course they don’t tell retail investors about the high hidden charges they are imposing or the kickback...
The Canadian dollar resumes its rally. After it withstood the recovery of the US dollar, the loonie makes a new move to the upside. USD/CAD reached a new low of 1.2914, the lowest since September 2016. The C$ advances alongside oil prices. While OPEC production is on the rise due to a ramp up in production from Nigeria and Libya, it seems that US shale output has reached a peak. We have already learned that the numbers of rigs rolled over and that production is slowing down. WTI Crude Oil is trading above $47, a level which used to be a line of support. This is not a great leap in comparison to yesterday, but still a boost. Another reason for...
Written by Peter Churchouse, Stansberry Churchouse In my opinion, real estate investment trusts (REITs) are one of the most underappreciated asset classes out there. They were created back in 1960 in response to demand for legislation that would allow regular everyday investors the ability to invest in large portfolios of the income-generating real estate. President Eisenhower signed a law providing the legal framework for a real estate structure for investors akin to the mutual fund structure for investing in stocks. REITs have since spread around the world as an increasing number of jurisdictions create their own REIT legislation. In our p...
The energy industry is well-known for housing exceptional dividend stocks. However, when we think of dividend energy stocks, the heavyweights – Exxon Mobil (XOM), Chevron (CVX), Royal Dutch Shell (RDS-B) – tend to come to mind. We generally do not immediately think of smaller, regional energy players. Smaller energy companies can be a surprisingly good source of dividend income. Inter Pipeline (IPPLF) (IPL.TO) is one example of this. On the surface, there’s a lot to like about Inter Pipeline. The company has increased its dividend for 14 consecutive years. This shows that Inter Pipeline is clearly committed to long-term dividend g...