Commodities Outlook For The Remainder Of 2012: Conclusion
AAA
  1. Commodities Outlook For The Remainder Of 2012: Introduction
  2. Commodities Outlook For The Remainder Of 2012: Different Story In Second Half
  3. Commodities Outlook For The Remainder Of 2012: Energy
  4. Commodities Outlook For The Remainder Of 2012: Natural Gas
  5. Commodities Outlook For The Remainder Of 2012: Coal And Uranium
  6. Commodities Outlook For The Remainder Of 2012: Precious Metals
  7. Commodities Outlook For The Remainder Of 2012: Base Metals
  8. Commodities Outlook For The Remainder Of 2012: Agriculture
  9. Commodities Outlook For The Remainder Of 2012: Conclusion

Commodities Outlook For The Remainder Of 2012: Conclusion

In summary, I believe commodity pricing will improve through year end. This is based on the belief there will be a QE3, and China will have a soft landing. Europe will continue to lag, but the euro will not disband. The U.S. economy should continue to do well, and easing will aid commodity prices. I think Europe's problems could be worse and take longer to overcome, as it seems disinterested in an aggressive stance. Keep in mind that these estimates could change significantly by just one of these variables being better or worse than expected. If there was a commodity to watch it is oil, and the problems in Europe could cause a big move in the price of Brent. We will continue to see Brent trading at a significant differential to WTI. There is an upside to natural gas in the U.S., but this could take some time to realize. Coal will continue to be weak in a low natural gas price environment. Gold is a great way to play inflation, and the further cutting of the dollar by the Fed. Other precious metals will not be so lucky. The base metals will trade sideways for some time. Agricultural commodities will improve in price, but corn could be the best way to play this. One thing I am fairly certain of is the financial crisis in the U.S. and Europe has created a fear of deflation that could easily over correct. If this is the case the problem isn't deflation, but inflation.


  1. Commodities Outlook For The Remainder Of 2012: Introduction
  2. Commodities Outlook For The Remainder Of 2012: Different Story In Second Half
  3. Commodities Outlook For The Remainder Of 2012: Energy
  4. Commodities Outlook For The Remainder Of 2012: Natural Gas
  5. Commodities Outlook For The Remainder Of 2012: Coal And Uranium
  6. Commodities Outlook For The Remainder Of 2012: Precious Metals
  7. Commodities Outlook For The Remainder Of 2012: Base Metals
  8. Commodities Outlook For The Remainder Of 2012: Agriculture
  9. Commodities Outlook For The Remainder Of 2012: Conclusion
RELATED TERMS
  1. Benchmark Crude Oil

    Benchmark crude oil is crude oil that serves as a pricing reference, ...
  2. Unconventional Oil

    A type of petroleum that is produced or obtained through techniques ...
  3. Green collar

    A worker who is employed in an industry in the environmental ...
  4. Christmas tree (oil and gas)

    A vertical assembly of mechanical elements used in oil exploration ...
  5. Topside

    The upper part of an oil platform—above the water line—that ...
  6. FPSO (Floating Production Storage and Offloading)

    Acronym for Floating Production Storage and Offloading. FPSO ...
  1. Why are OTC (over-the-counter) transactions controversial?

    Learn more about over-the-counter transactions, and why OTC traders are considered riskier than traders working with larger ...
  2. What is the difference between arbitrage and hedging?

    Dive into two very important financial concepts: arbitrage and hedging. See how each of these strategies can play a role ...
  3. How does fracking affect oil prices?

    Read about the short- and long-term impacts of hydraulic fracturing, also known as fracking, on global oil markets and oil ...
  4. How does fracking affect natural gas prices?

    Take a deeper look at the impact of hydraulic fracturing on the price for natural gas, and why fracking may eventually price ...

You May Also Like

Related Tutorials
  1. Mutual Funds & ETFs

    Top ETFs And What They Track: A Tutorial

  2. Forex Education

    Investopedia Forex Outlook For February 2013

  3. Forex Fundamentals

    Investopedia's Forex Outlook For January 2013

  4. Forex Fundamentals

    Investopedia's Forex Outlook For December 2012

  5. Trading Strategies

    Key Ratios For Analyzing Oil And Gas Stocks

Trading Center