Is Sugar The Next Crude Oil?

by Lannie Cohen, Managing Founder and President
Capital Commodity Services
July 1, 2008
Are we in for another big move up in the Sugar market? The fundamentals are beginning to point in that direction. The continued erosion of the US Dollar, concerns linger over weather in Brazil and India, the closure of Australia’s largest sugar mill, and rising consumer demand. Perhaps the most significant fundamental is the shift off Sugar for Ethanol use.

$1,200 Gold By The End Of 2008

by Lannie Cohen, Managing Founder and President
Capital Commodity Services
June 23, 2008
The price of Gold is $870 an ounce as of this writing. That is well off it's all time high of $1033 made just three months ago. What is driving prices? The primary factor is that Gold trades opposite the US Dollar. As the US Dollar declines, gold usually increases in price. Even today, the European Central Bank has left rates unchanged and has indicated actually raising rates as soon as next month! This statement is intrinsically bearish the US Dollar and consequentially bullish for Gold.

Commodity Exchange Traded Funds (ETF) For Turbulent Times

by Malcolm Katt, Associate Editor
June 23, 2008
It's been 15 years since exchange-traded funds (ETFs) have been sold in the U.S. ETFs have opened up new areas for retail investors, such as overseas markets and commodities that were difficult to invest in if you weren't very wealthy or an institutional investor. An exchange-traded fund is a cross between a closed-end fund (with a fixed number of shares outstanding) and an open end (whose sponsor continually sells shares to newcomers while cashing out departing customers). It trades, like a closed end, with a bid-and-ask spread on a stock exchange, and when you buy or sell it you pay a brokerage commission.

When The Politicians Come Calling Beware Of Their Cap & Trade Climate Bill

by Malcolm Katt, Associate Editor
June 23, 2008
Washington is at it again. They won't stop until they have completely destroyed the US economy and have ruined the American business community by adding more stifling regulation.The latest is known as "Cap and Trade". These measures would set a limit, or cap, on carbon dioxide emissions from fossil fuel use. The effect of such a cap would be to impose rationing of coal, oil, and natural gas on the American economy. Each covered utility, oil company, and manufacturing facility would be given allowances based on past emissions or some other formula. Those companies that emit less carbon dioxide than permitted by their allowances could sell the excess to those that do not; this is the trade part of cap and trade. Over time, the cap would be ratcheted down, requiring greater cuts in emissions.

As U.S. Fortunes Wither China Becomes A Dominant Player In Countries Worldwide, Including The Tiny South American Country Of Peru

June 18, 2008
The Chinese mining company Chinalco (www.chinalco.com) has agreed to acquire the Peruvian village of Morococha for the equivalent of $3 billion USD. You see, the copper mine Toromocho is directly underneath this impoverished little town and the only way to access the vast copper deposits is to relocate all of the Morococha residents to a nearby valley. Many of the depressed villagers have already sold their homes to the government for the $2,000 asking price, however there is a large group of dissidents who don't approve of the relocation. That's okay. In this new game of global consumption, China's cash dominance is helping industrial players within the country to gobble up natural resources and ship them back to the mainland where the appetite for oil, copper and success is matched only by its sheer size. And that little mining company, Chinalco, no one ever heard of stands to earn a profit of over 2,000% on its $3 billion investment.

Oil Expected To Reach $200 Per Barrel Before Dinner

June 17, 2008
Clear back in 2004, the feds projected a worst case scenario of $26 for a barrel of oil at some point in the distant future. Would you guess 2025? The suits in Washington are no different than the suits on Wall Street --- no one knows for sure exactly what's really going to happen. They all live by the same rule of financial analysis: Whoever projects what's going to happen first wins the hearts and minds of investors. The reality? Market volatility moves faster than the analysts and the government can comprehend --- oil is about to exceed $130 per barrel. As this new reality settles in, Goldman Sachs, one of the pioneers of financial prognostication, has declared that oil will soon reach $200 per barrel by the end of 2008. Does that really mean we'll see oil at $300 by the end of the year!? $400? Any takers? The point is, be careful who you listen to. Do your homework, and then make educated decisions about your investments and financial future.

Does The World Really Need Another Video Game, Social Networking Website Or Plush Toy?

June 17, 2008
To savvy investors aware of the times we live in that question is rhetorical. With volatility sliding in the wrong direction (in the United States), invest in companies that create real solutions that improve people's lives by leveraging technology. Seek out companies that produce alternative sources of energy and help the U.S. become energy independent? But innovation in the oil industry doesn't just mean "alternative". It also means "exploration and discovery" of untapped sources. Here's a list of stocks exploring undiscovered sources of oil and whose future prospects look positive.

Unclaimed Assets: How To Claim What's Yours

by Malcolm Katt
June 2008
Over $60 billion in unclaimed property and missing money that belongs to millions of Americans is sitting with government agencies, insurance companies, banks, and other entities. These assets include unclaimed life insurance proceeds, lost bank accounts and accounts at closed banks, IRS tax refunds, Social Security payments, and more.

Cashing In On Cotton

by Devon Brady
June 2008
Ethanol demand has been responsible for much of the record levels in the recent commodity bull run, sending grains like corn, wheat, and soybeans to record highs. If you missed out on the opportunity to profit from these moves don't worry. There is always another train leaving the station towards making mad money. We will explore how ethanol and other factors have opened the door for cotton to drive us to new records. The complexities of ethanol production, that ethanol increases greenhouse gases instead of reducing them, are issues for another story. This article is about profiting from the dwindling supply and increasing demand for cotton.

Are Your Bank Accounts Safe?

by Malcolm Katt
June 2008
Your bank accounts may not be as safe as you think. If you look at the legality and the financial structure of the Federal Deposit Insurance Corporation (FDIC) there are troubling facts that raise questions about how the FDIC and your accounts would fare during a full-blown financial crisis.

Green Investing Can Make You Lots Of Green

by Malcolm Katt
June 2008
Al Gore didn't invent the Internet, nor was he the first person to ask us to ''go green.'' Since the 1970s, when Americans lined up at the gas pumps, environmentally-friendly mutual funds have come and gone. They came to meet investor demand for environmental sensitivity; they failed due to poor performance and lack of investor interest. But just like recurring trends in the fashion industry, ''green investing'' is back and this time with belated purpose. There always seems to be no greater investor motivation than fear. Alternative forms of energy will be needed to meet global demand for years to come and government regulations dealing with the environment will have an impact on many businesses in many industries. Green market sectors, such as renewable energy, natural and organic products and recycling, are in vogue.