Continue reading Rio Tinto Clamps Down in Australia

Rio Tinto Clamps Down in Australia originally appeared on BloggingStocks on Thu, 06 May 2010 12:00:00 EST. Please see our terms for use of feeds.

"Our focus this summer remains on building positions in the bombed-out natural gas market; there's no other commodity this depressed, this unwanted and trading at such distressed levels," says resource expert Eric Roseman.

In his industry-leading, The Commodity Trend Alert, he explains, "Indeed, the bombed-out natural gas sector is screaming 'buy'." Here, he looks at TransCanada Corp. (NYSE: TRP).

"The way prices have been heading over the last several months you'd think the world doesn't use this clean-burning fossil fuel anymore.

"Natural gas prices remain 70% off their 52-week high and more than 75% below their all-time highs almost four years ago when Hurricane Katrina smashed the Gulf of Mexico.

Continue reading TransCanada (TRO): Natural gas is a 'screaming buy'

TransCanada (TRO): Natural gas is a 'screaming buy' originally appeared on BloggingStocks on Mon, 13 Jul 2009 11:00:00 EST. Please see our terms for use of feeds.

This post is part of a seven article report -- Food for thought: Best bets in food & beverage stocks.

"We're bullish on Juan Valdez," jests Eric Roseman, who sees an opportunity in an ETN (exchange-traded note) based on coffee prices. Here's the latest from his top-notch The Commodity Trend Alert.

"For individual commodities, supply and demand fundamentals are not ubiquitous and you really have to dig deep to find the best upside speculations. I think our time has arrived to bet on coffee.

Continue reading A cup of JO: Invest in coffee with an ETN

A cup of JO: Invest in coffee with an ETN originally appeared on BloggingStocks on Sat, 25 Apr 2009 10:00:00 EST. Please see our terms for use of feeds.

In a difficult economic environment, it is often wise for investors to consider stocks in more defensive and relatively recession-resistant sectors. And one such area is food and beverage stocks.

As the long-standing market maxim goes, consumers can pull back on spending for vacations, remodeling, and new cars, but they still need to eat and drink.

In that light, I turned to nine leading newsletter advisors who serve up their current favorite ideas in the food and beverage sector:

Continue reading Food for thought: Best buys in food & beverage

Food for thought: Best buys in food & beverage originally appeared on BloggingStocks on Fri, 24 Apr 2009 10:30:00 EST. Please see our terms for use of feeds.

"The global oil and gas majors have been brutally wounded since energy prices peaked last July," observes resources expert Eric Roseman.

In his Commodity Trend Alert, he explains, "We believe it's safe to start accumulating these companies again. We're buying one of the largest and best-managed natural gas companies in the world - Encana (NYSE: ECA)."

The advisor notes, "Based in Calgary, Alberta, Encana is Canada's largest natural gas distribution company based on stock market capitalization and natural gas production.

"ECA produces approximately 4.4 billion cubic feet of gas equivalent per day. More than 80% is natural gas - the cleanest burning of all fossil fuels.

Continue reading Encana (ECA): Time to buy natural gas?

Encana (ECA): Time to buy natural gas? originally appeared on BloggingStocks on Wed, 08 Apr 2009 13:50:00 EST. Please see our terms for use of feeds.

"I remain a devoted long-term soft commodities bull; the grains and other soft agricultural commodities remain one of the most long-term compelling investment trends of our lifetime," says Eric Roseman.

In The Commodity Trend Alert, the advisor looks at the PowerShares DB Agriculture Fund (NYSE: DBA), noting "The grains and other soft agricultural commodities remain one of the most long-term compelling investment trends of our lifetime. I'm convinced that we remain in a long-term bull market for agricultural commodities.

"This historical trend began in 2006 and remains extremely powerful as population growth exceeds arable food supply combined with unpredictable weather patterns attacking supplies and causing droughts.

Continue reading Powershares Agriculture (DBA): A bull market in grains

Powershares Agriculture (DBA): A bull market in grains originally appeared on BloggingStocks on Fri, 06 Mar 2009 11:00:00 EST. Please see our terms for use of feeds.

"Prices for energy stocks, including the drillers, are bombed-out and should be aggressively accumulated now," says resource expert Eric Roseman.

Here, the editor of The Commodity Trend Alert explains, "The absolute worst thing we can do is sell now." Here's his outlook on energy and drilling and a trio of buys.

"The pain felt by commodity bulls should abate shortly; this mind-blowing expansion of credit will ultimately fuel inflation to much higher levels. Eventually, long-term interest rates will rise sharply in the United States as the government grows hungrier to finance its out-of-control spending habits.

"What we're seeing now is a market that has gone from being obsessed with inflation just two months ago to one now worried about rapid deflation or an environment of declining prices. Combined with bad economic news overseas, the U.S. dollar has seen a violent reversal exacerbating the plunge in raw materials. It's been a brutal sell-off and the worst decline I've seen since mid-2006.

Continue reading Oil drilling: 'Ludicrous selling; terrific values'

Oil drilling: 'Ludicrous selling; terrific values' originally appeared on BloggingStocks on Thu, 18 Sep 2008 10:40:00 EST. Please see our terms for use of feeds.

"Don't sell commodities; although they have been in a bruising correction, they can also recover quite sharply," says resource expert Eric Roseman .

In his Commodity Trend Alert, the advisor adds, "And I can't think of a more undervalued gold mining company than South Africa's AngloGold Ashanti (NYSE: AU)."

"The forces of inflation and deflation are now fighting each other for the first time since 2001 and ultimately, inflation will win. For the Fed and other central banks the strategy is to rescue the global financial system from the economic abyss or deflation; that means print credit like there's no tomorrow.

"For the Fed and other central banks the strategy is to rescue the global financial system from the economic abyss or deflation; that means print credit like there's no tomorrow.

"The Fed, the ECB, the Bank of Japan and their international buddies are going to accelerate the expansion of credit to avoid a devastating deflation. Thus, I'm betting on inflation. I'm also betting on gold, my gold stocks.

Continue reading AngloGold Ashanti (AU): 'Too low to ignore'

AngloGold Ashanti (AU): 'Too low to ignore' originally appeared on BloggingStocks on Fri, 22 Aug 2008 13:58:00 EST. Please see our terms for use of feeds.

"The number one reason I like gold is because of inflation -- now a big problem in the emerging markets and the major economies," says resource expert Eric Roseman.

In his industry-leading Commodity Trend Alert, he says, "One of my favorite companies in the world is Goldcorp (NYSE: GG)." Here, he looks at this gold mining firm.

"Inflation sits at a nine-and-a-half-year high in Asia at 7.5%, a 15-year high in the Euro-zone at 3.7% and in the United States it's at 4.2% -- if you believe government data in the first place. I don't. I say inflation is running closer to 10% in 2008, not 4.2%.

"The cost of living, mainly in food and energy, is now totally out of control and destroying business margins and eroding the purchasing power of consumers, especially in the emerging markets where food and energy consumption devours more than 65% of wages.

"It seems very obvious to me that Asian governments have now lost control of inflation. The same applies to the Gulf countries which peg their currencies to the dollar. And in Europe, the European Central Bank is freaking out because of high inflation.

Continue reading Goldcorp (GG): Go for the gold

Goldcorp (GG): Go for the gold originally appeared on BloggingStocks on Tue, 15 Jul 2008 15:37:00 EST. Please see our terms for use of feeds.

"Platinum is a picture-perfect image of a classic bull market that's getting more exciting by the day," says resource expert Eric Roseman.

In his Commodity Trend Alert the advisor explains, "Prices continue to explode higher amid the largest supply shortfall for any precious metal this decade. As such, I'm urging my readers to buy the new E-Tracs UBS Long Platinum ETN (NYSE: PTM)."

"Find me a commodity -- any commodity -- that's approaching or extending a net supply deficit situation and I'll compel you to buy that commodity ahead of a major rally; that's what's happening now to platinum. Indeed, no other precious metal is suffering more from growing supply shortages since last year -- and it's getting worse.

"Platinum production in South Africa, which accounts for about 80% of global output, declined 4.9% to 5.04 million ounces in 2007 as a result of smelter closures and a host of safety issues that interrupted mining operations.

Continue reading Resource expert picks platinum fund

Resource expert picks platinum fund originally appeared on BloggingStocks on Thu, 10 Jul 2008 14:38:00 EST. Please see our terms for use of feeds.

"Renewable fuels and clean energy, a sector beaten down hard since last fall, are now primed for a major comeback," says Eric Roseman, editor of The Commodity Trend Alert. Here's his ETF play on the sector.

"With every passing day the price of crude oil rises, the secular trend to alternative energy becomes even more powerful. Consumers, companies and governments are now sick and tired of soaring energy prices.

"The long-term solution is to obviously reduce our dependence on oil and increase our consumption of renewable fuels like wind, solar, and nuclear energy.

"The bull market in alternative energy began in 2005 when a host of companies in this thriving sector went public, supported by government subsidies, especially in Germany and Spain. Interestingly, Germany and Spain have just reduced solar energy subsidies this spring.

"In my view, those subsidy cuts don't matter at this stage. When companies in the solar sector are making money, why should governments continue subsidizing them?

Continue reading Claymore/MAC Global Solar Energy: Time for a TAN

Claymore/MAC Global Solar Energy: Time for a TAN originally appeared on BloggingStocks on Thu, 03 Jul 2008 15:04:00 EST. Please see our terms for use of feeds.

"Oil is setting the stage for a big rally in alternative energy," says Eric Roseman, resources expert and editor of Commodity Trend Alert. Here's a look at two stocks poised to benefit from this trend.

"A surging oil price is extremely bullish for alternative energy. Over the last 12 months, as oil prices have doubled, uranium and solar energy stocks have crashed.

"These sectors have declined because sub-prime has taken everything to the basement until recently - not because solar energy or uranium are flawed investment themes.

"That's why we've recently placed new trades on Suntech Power Holdings (NYSE: STP) and Cameco (NYSE: CCJ). There's no way high oil prices won't encourage more interest in these distressed sectors.

Continue reading Resource expert sets sights on clean energy

Resource expert sets sights on clean energy originally appeared on BloggingStocks on Mon, 26 May 2008 10:00:00 EST. Please see our terms for use of feeds.

"We're bullilsh on meats," says Eric Roseman, who notes, "I'm convinced we're finally at a turning point in 2008 as farmers continue to cull their herds. At some point, I'm expecting beef and pork prices to surge."

Here, the resources expert and editor of The Commodity Trend Alert looks at an exchange-traded note with a memorable trading symbol -- iPath Dow Jones Livestock (NYSE: COW). Here is his review.

"With virtually all commodities soaring over the last several months, the meats have been a disappointment - until about ten days ago. I think we finally broke-out.

"Like the grains, livestock maintain a negative correlation to common stocks. It's a great portfolio diversification tool, especially in 2008 when equities cratered during the first quarter and most commodities rallied. Live cattle and lean hogs have been poor inflation-adjusted investments or speculations since the bull market in raw materials was set afire in 2002.

"Over the last six years, live cattle and lean hogs have gained just under 30% in nominal terms, or up barely 4% adjusted for inflation. That pales compared to the huge gains logged by the base metals, precious metals, the grains and other commodities.

Continue reading COW: Resources expert turns bullish on meat

COW: Resources expert turns bullish on meat originally appeared on BloggingStocks on Tue, 29 Apr 2008 13:18:00 EST. Please see our terms for use of feeds.

"It's time to go value investing," says contrarian Eric Roseman, adding, "It's time to sink your teeth into America's oldest confectionary company" -- The Hershey Corporation (NYSE: HSY).

The editor of the industry-leading Commodity Trend Alert explains, "We love chocolate and want to own a great brand name that is likely to be acquired or partially acquired by a competitor at this low price." Here is his review.

"There's nothing more satisfying than a candy bar -- well, almost. I get even more excited about finding a great company or, in this case, a chocolate franchise selling at a distressed price, paying a nice dividend and home to shareholder activists seeking to boost their return on equity.

"We have regularly sought to identify distressed or contrarian blue chip stocks since 2001. The bottom line has to be deep-value and a strong catalyst for change as corporate earnings perform a 360-degree turn.

"Over the last two years, Hershey's common stock has been a real dog. HSY has shed almost half of its value since 2006, as investors grow frustrated with its board, ownership structure, faltering sales and a rudderless earnings strategy.

Continue reading Contrarian bites into Hershey (HSY)

Contrarian bites into Hershey (HSY) originally appeared on BloggingStocks on Wed, 19 Mar 2008 11:10:00 EST. Please see our terms for use of feeds.

"I love buying great companies near the bottom of the barrel," says resources expert Eric Roseman, who has added Canadian-based Cameco Corp. (NYSE: CCJ) to his buy list.

The edtior of The Commodity Trend Alert explains, "Cameco, the world's largest uranium concern, is a gem, right in the middle of a long-term earnings boom amid high energy prices and a massive backlog of orders for its raw material used to feed nuclear reactors." Here is his review.

"I'm drawn to quality at a distressed price, for whatever reason, such as earnings-related surprises, management changes, special one-time write-downs, etc. Most of our recommendations are founded on exactly these principles of value-contrarian investing.

"Cameco Corporation was a $60 stock 12 months ago, but because of production bottlenecks caused by a major flood at one of its biggest mines (Cigar Lake) in late 2006, the stock suffered a beating and has bounced all over the map lately. Yet, for years, Cameco was Canada's uranium darling and I always wanted to own this gem. But the problem was, Cameco always fetched a high price, and I hate paying top dollar - even for a great business.

Continue reading Global gains: A Canadian 'gem' at Cameco (CCJ)

Global gains: A Canadian 'gem' at Cameco (CCJ) originally appeared on BloggingStocks on Mon, 25 Feb 2008 13:47:00 EST. Please see our terms for use of feeds.

"Bull or bear, the grains don't care," chides Eric Roseman, editor of Commodity Trend Alert, who notes that his 'Feed the World investment theme' is tied to growing demand.

He explains, "Best of all, soft commodities maintain a negative correlation to common stocks - a great portfolio benefit and a solid hedge in down markets." Here, he looks at the iPath Dow Jones AIG Agriculture Total Return Sub-Index ETN (NYSE: JJA).

"While sub-prime has been wreaking market havoc since July, the grains have soared to new nominal highs. Agricultural commodities will remain subject to the healthy demand and tight supply conditions. Every investor must have exposure to this asset class.

"The supply picture for the grains complex continues to grow dire by the week. But despite hitting nominal highs this fall, corn, wheat and soybeans are still about 70% to 80% below their inflation-adjusted highs in 1980-1981. That means a doubling in values from these values is not only possible, but highly likely amid a growing shortage of wheat in 2008 and possibly, soybeans.

Continue reading AIG Ag (JJA): A basket of agricultural commodities

AIG Ag (JJA): A basket of agricultural commodities originally appeared on BloggingStocks on Thu, 31 Jan 2008 07:30:00 EST. Please see our terms for use of feeds.

For 25 years, Steven Halpern, editor of TheStockAdvisors.com, has surveyed the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is one of 100+ ideas in the Best Stocks for 2008 report.

"The market is looking increasingly fragile -- and our top pick for 2008 is a stellar investment that has all the makings of a bear-market killer: The Vice Fund (VICEX)," says Eric Roseman, editor of Commodity Trend Alert.

"This fund will do well as long as people continue to drink, smoke and gamble. The fund might not be the most wholesome investment in your portfolio, but it sure earns a big score for making bundles of dough from many industries currently shunned by investors and portfolio managers.

"And best of all, as the economy contracts, stocks in its highly concentrated and aggressive portfolio usually grow their corporate earnings while the broader market corrects. Bull or bear, it doesn't matter. The Vice Fund can generate profits in any economic environment -- provided people continue to gamble, drink and smoke.

"Launched in 2002, the Vice Fund is advised by Mutual Advisors, Inc, a small outfit with $177 million under management. But its size is actually highly advantageous to investors because of its ability to quickly enter and close trades and buy some companies that might be thinly traded.

Continue reading Best Stocks for 2008: Bad habits lead to good gains for Vice Fund (VICEX)

Best Stocks for 2008: Bad habits lead to good gains for Vice Fund (VICEX) originally appeared on BloggingStocks on Mon, 24 Dec 2007 16:45:00 EST. Please see our terms for use of feeds.

For 25 years, Steven Halpern, editor of TheStockAdvisors.com, has surveyed the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is one of 100+ ideas in the Best Stocks for 2008 report.

"The momentum for large-cap gold producers looks very bullish and my top speculative idea for 2008 is Yamana Gold (NYSE: AUY)," says Eric Roseman, editor of Commodity Trend Alert.

"Based in Toronto, Canada, Yamana is a large-cap gold-mining company with probably the best exploration portfolio in all of Central and South America.

"Yamana Gold had been heavily battered due to its buyout of Meridian Gold and Northern Orion. With these acquisitions now completed, the overhang of merger uncertainty has been lifted and the stock has sharply rallied off its 52-week low.

"The big picture for Yamana is a great portfolio of first-rate mines in Central and South America, booming earnings, rising positive cash-flow and production costs of $339 per ounce.

Continue reading Best Stocks for 2008: Yamana Gold (AUY)

Best Stocks for 2008: Yamana Gold (AUY) originally appeared on BloggingStocks on Tue, 18 Dec 2007 08:00:00 EST. Please see our terms for use of feeds.

This article is part of a 20 article special report on "Metals, miners and money".

In his Commodity Trend Alert, Eric Roseman believes a short-term correction is "highly likely." But the resource expert still considers ASA Limited (NYSE: ASA) a "terrific bargain."

He explains, "For value investors, a great buying opportunity in commodities looms this fall. The fundamentals for commodities remain extremely bullish as we progress into 2008. A weaker U.S. dollar, lower interest rates, and supply deficits across a spectrum of raw materials promises to snowball into another formidable rally for commodities."

However, he cautions, this buying opportunity will come after a "period of digestion." He observes, "Commodities indices have come a long way over the last two months following the mid-August market low. Heavy investor speculation in many raw materials -- namely oil, gold, and wheat -- implies a short-term correction is highly likely."

The advisor notes, "Banks, hedge funds, individual investors, and sovereign wealth funds are all on the same side of the dollar bear market ship; historically, too many bears on the same side of a trade means someone will lose their shirt -- and soon."

Continue reading Top resource ideas: ASA Ltd. (ASA) offers gold at a discount

Top resource ideas: ASA Ltd. (ASA) offers gold at a discount originally appeared on BloggingStocks on Sat, 10 Nov 2007 09:10:00 EST. Please see our terms for use of feeds.

"Although the ongoing sub-prime scare compounded by private equity financing troubles have dealt markets a severe blow," commodity expert Eric Roseman contends, "This is just another correction in a long series of market hiccups over the last few years."

The editor of Commodity Trend Alert notes, "I doubt what is transpiring now will dramatically alter the secular bull market in commodities and global stocks."

He continues, "Private equity deals have been a big chunk of stock-market volume over the last 12 months. But they're almost small potatoes compared to the massive liquidity rush coming our way, courtesy of global central banks, namely in Asia, with a few trillion dollars' worth of reserves now heading into common stocks."

Roseman explains, "Fed-up with poor returns on dollar-denominated U.S. Treasury bonds, Asian and other central banks and their respective government-sponsored pension funds are starting to direct capital flows to global stock markets to fund future entitlement programs." That move alone, he notes, will ultimately provide an incredible liquidity rush to all markets, including commodities.

Continue reading High value in ethanol and grain

High value in ethanol and grain originally appeared on BloggingStocks on Mon, 06 Aug 2007 15:45:00 EST. Please see our terms for use of feeds.