Copper was the darling of commodity traders. The price rallied from about $6,400 per ton to a record $10,190 in the past year, The Financial Times reports. Momentum was strong and it looked like there was no end in sight. But now, prices have dropped off a bit and miners are worried that the rally has hit a brick wall. The main concern is that what drove drove prices skyward -- China's demand -- may be slowing, according to the FT.

One indication of the slowdown is the amount of stocks held in exchange warehouses. At the LME Asia + Shanghai exchange warehouses, copper stocks have increased from below 150,000 to over 325,000 tons. That buildup has worried miners. The companies affected are Freeport MeMoRan (FCX), BHP Billiton (BHP), Xstrada (XSRAF), Anglo American and Brazil's Codelco, according to the Financial Times.

Continue reading Miners Hedge Copper Inventories as Demand from China Slows

Miners Hedge Copper Inventories as Demand from China Slows originally appeared on BloggingStocks on Mon, 04 Apr 2011 10:30:00 EST. Please see our terms for use of feeds.

Wynn Resorts (WYNN - option chain) shares are rising today on news that casino revenue in the Chinese province of Macau rose 48% to $2.5 billion in March, according to government statistics. WYNN owns one of the six casinos operating on the island. If you think that the stock won't fall by too much in the coming months, then now could be a good time to look at a bullish hedged trade on WYNN.

WYNN opened this morning at $130.00. So far today the stock has hit a low of $129.71 and a high of $135.59. As of 11:50, WYNN is trading at $135.29 up $8.13 (6.4%). The chart for WYNN looks bullish and S&P gives WYNN a positive 4 STARS (out of 5) buy ranking.

Continue reading Wynn Lifted by Surging Macau Revenue

Wynn Lifted by Surging Macau Revenue originally appeared on BloggingStocks on Fri, 01 Apr 2011 12:40:00 EST. Please see our terms for use of feeds.

Continue reading Las Vegas Sands Drops on Securities Investigation in Hong Kong

Las Vegas Sands Drops on Securities Investigation in Hong Kong originally appeared on BloggingStocks on Thu, 31 Mar 2011 14:00:00 EST. Please see our terms for use of feeds.

In a recent letter to the governor of Illinois, Doug Oberhelman, CEO of heavy machinery maker Caterpillar (CAT), outlined his concerns about new state taxes that could force the Illinois-based company to move operations to another state. Reportedly, Wisconsin, Indiana and New Jersey are all courting the company.

With 23,000 Caterpillar employees in Illinois, the stakes are high. Hopefully, Governor Pat Quinn and Oberhelman will be able to work something out.

Continue reading Caterpillar Mulls Relocating: How Do You Move a Bulldozer Company?

Caterpillar Mulls Relocating: How Do You Move a Bulldozer Company? originally appeared on BloggingStocks on Mon, 28 Mar 2011 09:00:00 EST. Please see our terms for use of feeds.

Watch the tape. Ignore the chatter. Those two are old truisms. The U.S. treasury market held firm Monday, with the 10-year June futures contract closing at 120-06, up 16 ticks.

There was some chatter from naysayers that China or Japan, the biggest foreign holders of U.S. debt, might decide to sell. That piece of news can be discarded. Why would they sell and take huge losses?

Stocks markets, however, across the globe were down, prompting a scramble for safety. Which safety? Why, the U.S. treasury market.

Continue reading U.S. Treasuries Hold Firm Against the Backdrop of the Japanese Crisis

U.S. Treasuries Hold Firm Against the Backdrop of the Japanese Crisis originally appeared on BloggingStocks on Tue, 15 Mar 2011 10:00:00 EST. Please see our terms for use of feeds.

Continue reading Trading China's $200 Billion Home Building Plan

Trading China's $200 Billion Home Building Plan originally appeared on BloggingStocks on Wed, 09 Mar 2011 17:40:00 EST. Please see our terms for use of feeds.

• BHP Billiton (BHP), the world's number one miner, had earnings before interest and taxes of $14.82 billion. Of that amount, iron ore accounted for $5.8 billion, up 177%
• Number three miner, Rio Tinto (RTPPF), had earnings of $26.6 billion. Iron ore unit accounted for 60%, or $16.6 billion, up 133% for the year.

Continue reading Iron Ore Tops All Commodities

Iron Ore Tops All Commodities originally appeared on BloggingStocks on Wed, 02 Mar 2011 09:40:00 EST. Please see our terms for use of feeds.

When it comes to the biggest threat to world economies, oil scarcity is second only to nuclear war. What started in Tunisia, then spread to Egypt has now spreading to Bahrain and Iran, where protesters are clashing with police. In Iran, lawmakers are threatening death to protesters.

The fear of chaos spreading across the Middle East has sent the oil market into overdrive. Brent crude traded at $104 per barrel Tuesday.

Continue reading Brent Crude at $104 per Barrel on Spreading Mideast Unrest

Brent Crude at $104 per Barrel on Spreading Mideast Unrest originally appeared on BloggingStocks on Tue, 15 Feb 2011 11:00:00 EST. Please see our terms for use of feeds.

For investors, the emerging markets have been a great place to find profits. No doubt, there are certainly risks, such as seen recently with the market turmoil in Egypt, but a diversified portfolio should solve these problems. Of course, it also helps to have lots of exposure to markets like China and Brazil.

According to Societe Generale, emerging markets may pale in comparison to the growth in commodities. Interestingly enough, it is rising commodities prices that is putting inflationary pressure on these countries. In other words, it is getting tougher for companies to pass along higher raw materials costs. As a result, there has been a rash of interest rate increases.

Continue reading Commodities Even Better Than Emerging Markets Stocks?

Commodities Even Better Than Emerging Markets Stocks? originally appeared on BloggingStocks on Wed, 09 Feb 2011 12:10:00 EST. Please see our terms for use of feeds.

Baidu (BIDU), China's search engine giant, has seen its American depositary shares (ADSs) rise very nicely over the last 12 months. Yesterday, the ADSs closed up almost 2% to $108.63, not too far from the 52-week high of $115.04; the price movement was achieved on high volume. The 52-week low is $40.67, so those who bought in near the latter price are pretty happy campers.

That 2% rise, while quite respectable, wasn't the big story; rather, it was what happened during the after-hours session. The ADSs went up 7.7% to $116.99. Considering that we're in another earnings season, I don't think it's a particular challenge for anyone to guess what propelled the company to such lofty heights.

Continue reading Baidu Q4 Earnings: Time to Buy or Sell?

Baidu Q4 Earnings: Time to Buy or Sell? originally appeared on BloggingStocks on Tue, 01 Feb 2011 09:00:00 EST. Please see our terms for use of feeds.

Continue reading China Signs a Deal to Buy Soybeans from U.S. Companies

China Signs a Deal to Buy Soybeans from U.S. Companies originally appeared on BloggingStocks on Fri, 21 Jan 2011 11:00:00 EST. Please see our terms for use of feeds.

We have another crisis, this time in rare earth metals. China produces 95% of these metals and has said it would reduce exports by 35% in 2011. These moves are causing the prices of these metals to skyrocket, as reported in the The Wall Street Journal (subscription required).

Chemical refiners of gasoline use rare earth metals. The increased cost of the metals is being passed on to consumer and amounts to about a penny a gallon.

Continue reading China's Rare Metals Exports Curb Is Raising Gasoline Prices

China's Rare Metals Exports Curb Is Raising Gasoline Prices originally appeared on BloggingStocks on Mon, 10 Jan 2011 10:15:00 EST. Please see our terms for use of feeds.

Molycorp (MCP) closed up 6% after China announced last week the lowering of its rare earth export quotas for early 2011. January 60, 65 calls and January 55 puts were active with total option volume of approximately 54K contracts. January call option implied volatility is at 80, puts are at 103; above its five-month average of 67 according to Track Data. Elevated put volatility suggests shares are difficult to borrow.

Atheros (ATHR) rallied 19% after CNBC reported that Atheros is close to being bought by Qualcomm (QCOM) for approximately $45 per share. Options were active according to Track Data.

Options Update is by Stock Specialist Paul Foster of theflyonthewall.com.

Options Update: Molycorp Put Volatility Elevated originally appeared on BloggingStocks on Tue, 04 Jan 2011 17:00:00 EST. Please see our terms for use of feeds.

There is a big brouhaha in the rare earth metals sector. China, which produces 97% of these metals, has reportedly limited exports for 2011. Rare earth metals are necessary for everything from high powered wind turbines to iPhones.

As companies are scrambling to fill the gap, many have soared on the news. Here are some worldwide leaders, as reported by CNBC.com:

• U.S. Molycorp (MCP), which went public over the summer, is up 200%, and now trading at $49.90. Both Sumitomo (SMTOY) and Hitachi (HIT) have recently made deals with Molycorp. Molycorp plans to break ground on a new $500 million facility and expects to be extracting ore in late 2011.

Continue reading Rare Earth Metals: Which Companies to Watch in 2011?

Rare Earth Metals: Which Companies to Watch in 2011? originally appeared on BloggingStocks on Mon, 03 Jan 2011 10:20:00 EST. Please see our terms for use of feeds.

According to the Financial Times, the Chinese Ministry of Information and Industry Technology called for a crackdown "on illegal VoIP (voice over Internet protocol) telephone services" and is collecting evidence for legal cases against them.

China is a big player in most markets; however, when it comes to technology, powerful local companies hold sway. Last year Google (GOOG) fought a battle to keep its website in China. A couple of years ago, China set rules whereby all Internet content had to pass through censors before being approved.

Continue reading Skype Could Face Charges in China

Skype Could Face Charges in China originally appeared on BloggingStocks on Sun, 02 Jan 2011 16:00:00 EST. Please see our terms for use of feeds.

The trends that drove gold prices higher in 2010 are still in place. In the U.S., the Federal Reserve is buying $600 billion in treasuries in an attempt to keep interest rates low. Low interest rates encourage higher gold prices.

In Europe, the situation is still unstable. The European Central Bank (ECB) has stepped up its purchases of member nations' bonds. Spain is still on the table as a country teetering on verge of a bailout. Until the European mess is settled, gold remains a surrogate currency.

Continue reading Analysts Forecast Higher Gold Prices in 2011

Analysts Forecast Higher Gold Prices in 2011 originally appeared on BloggingStocks on Sun, 02 Jan 2011 14:15:00 EST. Please see our terms for use of feeds.

Continue reading James Altucher: Despite World Worries, Buy Stocks [VIDEO]

James Altucher: Despite World Worries, Buy Stocks [VIDEO] originally appeared on BloggingStocks on Wed, 15 Dec 2010 17:30:00 EST. Please see our terms for use of feeds.

Continue reading Caterpillar: Too High to Buy?

Caterpillar: Too High to Buy? originally appeared on BloggingStocks on Tue, 14 Dec 2010 09:30:00 EST. Please see our terms for use of feeds.

The world is now waking up to a new shortage looming large. It is in rare earth metals. Rare earth metals are used in a variety of products including LCD screens, offshore wind turbines, navigation systems and automobiles. The metals bind with iron and cobalt to form strong magnetic fields.

Analysts forecast a shortage of 30,000 tons in 2011, as reported in CNBC.com. China controls 97% of rare earth metals production.

Continue reading Shortage of Rare Earth Metals Seen in 2011

Shortage of Rare Earth Metals Seen in 2011 originally appeared on BloggingStocks on Mon, 13 Dec 2010 17:00:00 EST. Please see our terms for use of feeds.

Nobody knows what the future holds. But there are a few things shaping up that suggest certain things will most likely happen. Here are some of the major ones.

Interest Rates: Low at the beginning of the year, then headed higher for a long time. If you have an adjustable rate mortgage and you're still paying it, it's the perfect time to get it refinanced, if you can qualify. Interest rates are definitely going up; it's just a matter of when. As long as the Fed is pumping money in (QE2 is targeted with $800 billion .... with the possibility of more behind it), rates will stay low, unless investors think inflation will get way out of hand. Then rates will go higher no matter what the Fed does as investors sell longer term bonds to beat the coming inflation. Initially, rising interest rates will be bullish as they are a precursor to a healthy economy. But that bull will morph and become a bear when rates start jumping as the Fed tries to get ahead of inflation. Tricky business. Investors will do well to have floating rate assets and fixed rate liabilities.

Continue reading Comfort Zone Investing: What Lies Ahead For 2011 ... Maybe

Comfort Zone Investing: What Lies Ahead For 2011 ... Maybe originally appeared on BloggingStocks on Sat, 11 Dec 2010 10:30:00 EST. Please see our terms for use of feeds.