Value in Commodities Wednesday, January 28, 2009
Posted by ei-forum in Investing.trackback
Rest assured that the commodity boom is not over, we believe that prices will probably start to pick up again in late 2009, most probably coinciding with the start of a long and difficult economic recovery process.
As we all know, the sharp decline has been quite spectacular – notice the July 2008 peak – as you can see hereafter in the 2 year DB Commodity Index ETF (DBC):
It is no surprise that in the current economic climate, demand has softened significantly but this does not mean that we will never see growth again! Demand will remain under pressure but not indefinitely.
The next months will be very important to try and understand what shape this recovery could take but in any case, the Value Investor should closely monitor developments in the overall commodity spectrum.
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Good Point. I agree with you and I think the article also resonates with Jim Rogers constant warning on television. Great blog. Also great link to traders, guns, and money. I love linking to you guys from simoleonsense.com Let me know what you think of my blog. I really value your opinion.
Best Regards,
Miguel Barbosa
Simoleonsense.com
Hello, thank you for your kind words Miguel.
Indeed, in line with Mr. Rogers and we also post quite a bit of his stuff here! He is a bit extreme at times and has to push his own agenda but he does make a lot of sense….
We saw your site linking to ours and checked it out -> pretty cool! We also liked the ‘listen know’ feature which is very interesting. We will keep on visiting you too.
All the best,
EI Forum Team