Back in 2003 I held a seminar in London and my guest was hedge fund manager and commodities guru Jim Rogers and whilst talking about mining stocks he said: “A gold mine is a hole in the ground with a liar standing on top of it”.
13 years on I still remember these wise words and any investment in a mining stock should only be considered with risk capital and it’s important to have an exit strategy.
As I write this article I have a strong case of déjà vu as what I am about to write is almost the same as I wrote exactly 12 months ago. And with the horrible start to 2016 for financial markets thanks to the China issues, here’s a stock which I believe will hold up again whatever the weather in 2016.
The stock is Imperial Tobacco (IMT) and anyone that purchased it last year made a very respectable 26%, thrashing the FTSE100 which was down over the same period.
In this article I'm going to look at stocks that can do well in the last two months of 2015, especially companies in the consumer discretionary sector, after a wider update last month.
In October I outlined my view that markets could go higher and that I was looking for the Dow to hit a new all-time high of 18,500 by April 2016.
"All truth passes through three stages. First, it is ridiculed. Second, it is violently opposed. Third, it is accepted as being self-evident." - Arthur Schopenhauer
Back in September 2011 I released an update stating I was looking for the Dow Jones to make a new all-time high of 14200 in March 2013.
I am one of the few that still believes the FED will raise rates 0.25% on the 16/17 of September, should they not raise I would be very worried and it would be a grave mistake but I am 95% sure they will.
Once they raise rates that will be it for the rest of the year. I then expect two rate increases in 2016 both of 0.25%. This will take the Fed funds rate to 1.00% by end of the 2016 hardly a disaster.
Summertime, An’ the livin’ is easy; Fish are jumpin’ an’ the cotton is high; Oh yo’ daddy's rich an’ yo’ mamma's good lookin’; So hush little baby, don't you cry. Those are the lyrics by DuBose Heyward to the music of George Gershwin, but if the summer livin’ is easy, then the tradin’ ain’t.
So far August is looking weak but fortunately if you followed my articles, we have made good money on the GMCR short which I wrote about in June.
Mention trading commodities to most people and you normally get a pause and then a comment such as “oh commodities are risky”.
Alternatively, you get the story about their uncle Bert that lost his shirt trading pork bellies and even a reference to the classic film Trading Places.
This month I will take a look at a share to short sell and that is GMCR, formally known as Keurig Green Mountain. I will also give a quick recap on selling a share short.
The majority of spread betting clients still prefer to go long a stock yet there are also opportunities to make money selling a stock short and profiting from a down move.
What’s the most hated stock market in the world and who is one of the most hated (still living) leaders? Well in my humble opinion it has to be the Russian stock market and president Vladimir Putin. Every time you switch on the news (except pro-Russian television channel RT) it is bad news about Russia.
It’s all about how Putin has upset someone; the US adds another economy sanction, how lower oil prices are crippling the country and the general view is that Russia is back to the 1980s and everyone is living on potatoes and home brewed vodka!
In this article I will show you how to profit from a short-term correction using the example of biotech, although in the longer term it's a sector I remain a big fan of.
Regular readers will know that I have been a big fan of biotech stocks and making money from the ageing population trend. This is a trend which has been extremely profitable.
Thu, 1st Jan - * (ShareCast News) - Oil futures registered decent gains on Friday, while the previous session's gold price spike cooled on profit taking as the weekend approached.