A big rally in American 10-year T-note yields and the inability of the European Union to vaccinate its population have taken their toll on the common European currency, halting the slide in the dollar. Inflation-adjusted… Read More
Crude Oil Rally Running Out of Gas
Big production cutbacks by mega-producers Russia and Saudi Arabia lit a fire under the oil market to start 2021. Now that these cuts have achieved their objective and prices have risen to $65 per barrel,… Read More
Will Bond Yields Boost the Buck?
Cheap money encourages wanton financial behavior, such as borrowing for no real reason other than pure speculation. Cut-rate cash created by zero interest rates is the rocket fuel powering TINA (There Is No Alternative) trades…. Read More
Bearish Shift in Soybeans?
The USDA released their monthly World Agricultural Supply and Demand Estimates (WASDE) Report on Tuesday. It showed world stockpiles of soybeans down a massive 77% from the 2019/2020 crop year – the lowest since 2013/2014…. Read More
Silver “Short Squeeze” Squelched
The Reddit revolutionaries may have leveraged the Internet to change the investing game in heavily-shorted shares like GameStop (GME), but they bit off too much when it came to silver. Small traders flooded bullion dealers… Read More
Rising Bond Yields Pose Threat to Pricey Stocks
Something strange has happened the past few days: long-term interest rates are rising as stock prices are falling. This is opposite the classic “risk on”/ “risk off” formula which has dominated almost all of the… Read More
Commodities Continue to Outperform; Sugar Hits Our Upside Target
Buoyed by “rock star” shares like Tesla, Amazon and Apple, big stock market averages have been getting nearly all of the end-of-the-year press. But the best performing asset class of 2020 wasn’t stocks; it was… Read More
China Buys, La Niña Dries and Soybeans Soar
Exploding Chinese demand, a disappointing North American harvest and drier-than-normal conditions across key soy-producing areas of Brazil and Argentina have provided the fuel for the ongoing bull market in soybeans. “Beans” closed at $12.64 per… Read More
Bonds: The Ticking Time Bomb in Your Portfolio?
Money is a commodity and like any commodity, it responds to supply and demand. Interest rates measure the price of money. The short-term cost to borrow dollars from the US Federal Reserve is now effectively… Read More
Corn Continues to Climb
Soaring from a low of $3.09 per bushel on Fed stimulus and Chinese demand following March’s coronavirus outbreak, corn came within 7 cents of our upside objective of $4.35 per bushel last Thursday. The US… Read More