Category Archives: Commodities

Farmland Prices Surge 16%, Near All-Time High

Posted on December 28, 2010 by macromon

The Des Moines Register reports the average price for an acre of Iowa farmland increased to $5,064, up 16 percent for the year,  according to Iowa State University’s annual survey.  The all-time inflation adjusted high is $5,711 per acre in … Continue reading →

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Rare Earth Day 4.0

Posted on December 27, 2010 by macromon

Rare earth stocks rocked today on the back of an article in PC magazinem which is really old news.   Molycorp (MCP) was up almost 10 percent,  hitting  a high of $50.29 a share, and Rare Earth Elements (REE) up almost … Continue reading →

Posted in Black Swan Watch, Commodities, Rare Earth Elements | Tagged , | 1 Comment

China Rate Hike: Four Markets to Watch

Posted on December 26, 2010 by macromon

Fearsome Foursome We’re watching the reaction in four markets to gauge how the Christmas gift from the Kings of the East will affect global risk appetite.   The People’s Bank of China increased both the benchmark lending rate by 25 basis … Continue reading →

Posted in Black Swan Watch, BRICs, Commodities, Crude Oil, Equities, Monetary Policy | Tagged , , , , , , , , , , | Leave a comment

Lumber Rising…….Jobs to Follow?

Posted on December 22, 2010 by macromon

We wrote yesterday of the almost 50 percent increase in lumber prices since mid-June and how it bodes well for the U.S. labor market.  We’ve constructed a cleaner chart to show how nonfarm employment moves with lumber. Though prices are … Continue reading →

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Dead Wood No Longer

Posted on December 21, 2010 by macromon

Take a look at lumber prices.  In the days of traditional monetary policy in a normal economy,  the Fed would lower interest rates and the construction sector would lead the economy out of recession.   Lumber prices were  a leading indicator. … Continue reading →

Posted in Commodities, Economics, Equities | Tagged , , | 1 Comment

All About Gold With Charlie Rose, James Grant & Co.

Posted on December 19, 2010 by macromon

Be sure to catch the must view Charlie Rose’s December 6 show on Gold with James Grant, editor of Grant’s Interest Rate Observer, John Hathaway of Tocqueville Asset Management,  and Peter Munk, chairman and founder of Barrick Gold. Click here … Continue reading →

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“A money-financed tax cut is…[a] ‘helicopter drop’ of money”

Posted on December 9, 2010 by macromon

Wow!  Sounds a lot like what the President and Congress just negotiated, no?  Tax cuts financed by QE2 and a possible QE3?  Break out the Apaches! Here is the excerpt from his famous  helicopter speech, given at the National Economist … Continue reading →

Posted in Budget Deficit, Commodities, Gold, Monetary Policy, Sovereign Debt, Sovereign Risk | Tagged , , , | 4 Comments

Shanghai Watch

Posted on December 9, 2010 by macromon

We’re are watching to see if the Shanghai Composite can hold its 200-day moving average right around 2,800.  There is widespread speculation the People’s Bank of China will raise interest rates this weekend for the second time in the tightening … Continue reading →

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December 7th – A Rate Move Which Will Live In Infamy

Posted on December 7, 2010 by macromon

CNBC puts an interesting spin on the stock market sell-off and reversal in almost all commodities today, blaming the SEC insider trading probe.  We have a different view, believing it was the historic rise in long-term rates. Today’s 23 bps … Continue reading →

Posted in Black Swan Watch, Bonds, Budget Deficit, Charts, Commodities, Credit, Crude Oil, Economics, Equities, Fiscal Policy, Gold, Politics, Sovereign Risk | Tagged , , | 3 Comments

China Rate Hike This Weekend?

Posted on December 6, 2010 by macromon

The China Securities Journal, not citing a source,  says the timing is right for a rate hike this weekend.  It would be the second of the current tightening cycle.   Reuters reports, “With reference to the central bank’s record of … Continue reading →

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