dba posts
FeedPosted Aug 12th 2009 2:00PM by Steven Halpern (RSS feed)
Filed under: International markets, Newsletters, Commodities, Agriculture, Stocks to Buy
"Both short and long-term factos suggest higher agricultural prices," says Leonard Goodall in No-Load Portfolios. Here, the fund expert looks at a pair of agriculture-based ETFs.
"Bad weather through the country has had a negative impact on the agriculture sector. Rain and flooding in the plains states has caused a delay in harvesting the winter wheat crop and other grains are behind in their normal growing season.
"Moreover, current grain supplies are low as compared with demand. These factors point to the possibility of higher grain prices in the months to come.
Continue reading Gains from grains: Agriculture ETFs
Posted Jul 8th 2009 1:30PM by Steven Halpern (RSS feed)
Filed under: International markets, Newsletters, ETF Investing, Commodities, Agriculture, Stocks to Buy
"There are many reasons to like the PowerShares DB Agriculture (NYSE: DBA), an exchange-traded fund that tracks agricultural commodity prices," says fund expert Doug Fabian.
In The ETF Trader, he explains, "We like the technical picture. In addition, we believe commodities are a great hedge against inflation.
"Overall, we like the patterns taking shape in the world's key agricultural crops. The price charts of crops like corn, soybeans, sugar and wheat all have given us one compelling message, and that message is it's time to buy.
Continue reading PowerShares Agiculture (DBA): Farm favorite
Posted Mar 6th 2009 11:00AM by Steven Halpern (RSS feed)
Filed under: International markets, Newsletters, ETF Investing, Commodities, Agriculture, Stocks to Buy, Green Stocks, Recession
"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
Posted Jan 2nd 2009 8:35AM by Paul Foster (RSS feed)
Filed under: Options
Proshares UltraShort Real Estate (NYSE: SRS) closed at $50.71 Wednesday. SRS seeks daily investment results that correspond to twice the inverse daily performance of the Dow Jones U.S. Real Estate Index. SRS January option implied volatility is at 140, below a level of 180 from mid December. February volatility is at 137; above its 26-week average of 129, according to Track Data.
Ultra Financials ProShares (NYSE: UYG) closed at $6.03 Wednesday. UYG daily investment results correspond to twice the daily performance of the Dow Jones U.S. Financials Index. UYG January option implied volatility is at 91, below a level of 118 from last week; March is at 109 according to Track Data, suggesting March movement.
Powershares DB Multi Sector Commodity Trust (NYSE: DBA), a rules-based index consisting of agricultural futures contracts, closed at $26.18 Wednesday. January option implied volatility of 43 is near its 26-week average of 41, according to Track Data, suggesting non-directional price movement.
Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com
Posted Oct 8th 2008 10:15AM by Paul Foster (RSS feed)
Filed under: International Business Machines (IBM), Genentech Inc (DNA), Options
Genentech (NYSE: DNA) closed at $78.19 Tuesday. Roche announced on July 21 the offer to buy the balance of 44% of DNA it does not own for $89 cash. DNA November option implied volatility of 60 is above its 26-week average of 33 according to Track Data, suggesting larger price movement.
IBM (NYSE: IBM) closed at $95.65 Tuesday. IBM is scheduled to report Q3 EPS on October 16. Thomas Weisel lowered its 12-month price target form $143 to $120. IBM October option implied volatility is at 85, November is at 60; above it's above its 26-week average of 30 according to Track Data, suggesting larger price movement.
Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com
Posted Apr 25th 2008 9:33AM by Steven Halpern (RSS feed)
Filed under: International markets, Brazil, Newsletters, Mutual funds, Commodities, Oil, Agriculture, Stocks to Buy
"Some 20,000 or more million-dollar block trades are made each day," says Peter Way in Block Traders ETF Monitor, which assesses the activity of these trades. Here's some current top "big block" bets.
"Since it's these big dollar pressures that move markets, we want to know what they are likely to do next. Our analysis determines what the pros' expectations are for the coming prices of stocks, from the way
they protect investments they have or are making.
"Based on our proprietary analysis of this big block activity, we determine the prospects for each ETF sector to determine where prices will be in the next 3 months. We seek the best balance of upside risk and downside exposures.
"We don't want to buy anything that doesn't offer a net payoff of better than 5% over three months, or an annual rate of +22%. International and global ETFs. and emerging markets still hold appeal, with MSCI Brazil iShares (NYSE: EWZ), the best bet.
"Where's the beef? Must be in MOO, the Market Vectors International Agricultural ETF (ASE: MOO). Prospects for it are the best combined odds & payoffs in the group.
"The ETFs that have been providing the most reliable and productive gains of late have been in commodities. Without any leverage, there are currently a number that appear attractive, given the volume market-makers' appraisals. The PowerShares DB Agricultural Index ETF (ASE: DBA) outranks just about all of the 2,500 issues we cover. PowerShares DB Commodities Index ETF (ASE: DBC) also offers strong buy credentials."
Each day, Steven Halpern's TheStockAdvisors.com offers the latest market commentary and favorite investment ideas from the nation's leading financial newsletter advisors.
Posted Apr 17th 2008 2:45PM by Steven Halpern (RSS feed)
Filed under: Newsletters, Mutual funds, Commodities, Oil, Agriculture, Stocks to Buy
"Powershares DB Agriculture Fund (ASE: DBA) is a new addition to the capital gains portfolio at TheMoneyMan.com Market Newsletter. Here the latest by BizRadio host Daniel Frishberg.
"An area of the market that hasn't been affected by the economic slowdown and isn't correlated with the equities has been the commodity markets. Global demand for commodities has continued to increase.
"This has lead to record highs for most commodities, including soft commodities. We expect this to continue. There are several reasons for this.
"First, emerging markets are developing at a rapid pace and their populations are becoming richer and can now afford to eat better. That leads to higher prices in soybeans, corn, wheat, etc. Second, there are government mandates for producing ethanol which has driven up the price of corn.
Continue reading MoneyMan sees growth in agriculture
Posted Mar 12th 2008 11:10AM by Steven Halpern (RSS feed)
Filed under: Newsletters, Mutual funds, Commodities, Agriculture, Stocks to Buy
"We're adding a position in one of our favorite ETFs for 2008: the PowerShares DB Agriculture Fund (NYSE: DBA), which provides investors with an alternative way to invest in the agricultural sector," says technical analyst and contrarian investor Chris Johnson.
The money manager and editor of Insightful Investor explains, "We feel a long-term position in DBA is appropriate for any investor's portfolio." Here is his review.
"One of the areas of the economy that we have been outwardly bullish on is the agricultural group. From a fundamental perspective, the 'ag play' is in full force, as demand and supply remain imbalanced. This has been a fantastic catalyst for a number of stocks that have to do with the agriculture sector, as we have heard in the news quite a bit lately.
"While we like the environment that this creates for a number of stocks, there is one agricultural investment that we do not hear trumpeted in the media as much as one might expect. We're referring to an investment in agricultural products, not the companies that help to produce the products.
Continue reading DB Agriculture ETF (DBA): Growth for 'any portfolio'
Posted Feb 8th 2008 12:15PM by Steven Halpern (RSS feed)
Filed under: International markets, China, Newsletters, Mutual funds, Japan, Commodities, Agriculture, Stocks to Buy, Stocks to Sell
Based in London, Nick Vardy is among the leading international stock experts. The editor of The Global Bull Market Alert has created a package of stocks called the "Ultimate Defensive Global Bull Market Alert" Portfolio -- using ETFs to go short on China and the British pound while simultaneously going long on agriculture and the yen.
"UltraShort FTSE/Xinhua China 25 ProShares (ASE: FXP) has been a hero during market weakness. While the market's current focus is on the exposure of Chinese banks to U.S. subprime loans, the real issue in Chinese banks is their own bad loans to state-owned enterprises. China has a long way to fall.
"Short the CurrencyShares British Pound Sterling Trust (NYSE: FXB). With the U.K.'s fundamentals perhaps weaker than the United States, the U.K. currency should continue to weaken over the coming months.
"PowerShares DB Agriculture (NYSE: DBA) invests in some of the most liquid and widely traded agricultural commodities, corn, wheat, soy beans and sugar.
"Buy the Currency Shares Japanese Yen Trust (NYSE: FXY). The yen zigs when the rest of the market zags. A position in the Yen won't knock your socks off in terms of performance. But it will hold up well in times of turmoil and appreciate steadily as the 'carry trade' unwinds.
"A word of warning: This is a 'defensive' global portfolio that will hold up the best during periods of negative market sentiment. But understand that this is also the part of the portfolio that will underperform -- perhaps significantly -- on any 'relief rally' in the markets."
Each day, Steven Halpern's TheStockAdvisors.com offers the latest market commentary and favorite investment ideas from the nation's leading financial newsletter advisors.
Posted Aug 23rd 2007 5:00PM by Michael Panzner (RSS feed)
Filed under: India, China, Money and Finance Today, Technical Analysis, Commodities, Oil, Agriculture
Many of those who take an active interest in commodity markets have noted the relative attractiveness of the agriculture sector.
In particular, they cite increased demand for grains and other foodstuffs stemming from rising per capita incomes in emerging economic superpowers such as China and India.
As it happens, the technical picture suggests now might be a good time to think about investing in the sector, at least in the short-term.
In recent days, the ratios of the PowerShares DB Agriculture Fund (AMEX: DBA) to the PowerShares DB Energy Fund (AMEX: DBE) and the PowerShares DB Commodity Index Tracking Fund (AMEX: DBC) have broken out, hitting new five-month highs.
Relative strength like this often precedes a decent move higher in the notional price of the asset in question.
Some might say that's something worth chewing over.
Michael Panzner is a 25-year veteran of the global stock, bond, and currency markets and the author of Financial Armageddon: Protecting Your Future from Four Impending Catastrophes and The New Laws of the Stock Market Jungle.
Posted Aug 6th 2007 3:45PM by Steven Halpern (RSS feed)
Filed under: Newsletters, Bargain stocks, Commodities, Agriculture, Stocks to Sell
"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
Posted Feb 16th 2007 2:30PM by Steven Halpern (RSS feed)
Filed under: International markets, Conventions and conferences, China, Newsletters
I've just returned from the World Money Show in Orlando where more than 10,000 investors gathered to learn about global investing. I had a chance to meet with many of the U.S. and foreign financial experts featured at the show, and over the next week I will share some of their top investment ideas. To view all of the stocks featured in this special global report, click here.
"One of my favorite long-term growth themes is biofuels," says Elliott Gue, who believes this sector is "locked in a longer-term secular bull market." Says the editor of The Energy Strategist, "Among individual stocks in the biofuels sector, investors can look at Monsanto (NYSE:MON), Potash Corp. (NYSE:POT), Mosaic (NYSE:MOS) and Syngenta (NYSE:SYT).
"My basic outlook for all of these stocks is that pullbacks of 10% to 15% are possible from time to time, but I still I regard such selloffs as outstanding buying opportunities. In addition to these selections, I'm adding PowerShares Deutsche Bank Agricultural Fund (AMEX:DBA) to my biofuel coverage.
"The DB Agricultural Fund doesn't hold any stocks at all. This fund instead buys commodity futures contracts, a market where the majority of stock investors have little or no exposure. The fund holds a quarter of its assets in corn futures, a quarter in wheat, a quarter in soybeans, and a final quarter in sugar.
"These are the most-important traded agricultural commodities. Therefore, the fund is a good play on the overall bull market in agricultural commodities I see developing in coming years.
Continue reading Global gains: Power play on global agriculture