At a time when it appears there is nothing to stop the disintegration of the commodity bear market, my outlook for Turquoise Hill (NYSE:TRQ) remains strong.
My reasoning is I believe commodities are closing in on their lows in general, and are likely to begin a rebound in the not-too-distant future. But even if there is more downside to come for an extended period of time (meaning about a year or so), I don't see it having a negative impact on those holding a position in Turquoise Hill for the long term. That's because of the timing of the completion of the second phase construction at its flagship property Oyu Tolgoi.
Another reason is gold is going to get a hefty rebound once it bottoms out, and that is the second-most important metal at Oyu Tolgoi, behind Copper. Rounding out the top three is silver.
read more on Turquoise Hill
Showing posts with label Commodity Bears. Show all posts
Showing posts with label Commodity Bears. Show all posts
Friday, July 24, 2015
Thursday, April 1, 2010
Citigroup (NYSE:C) Survey Says Commodities Bearish
Commodity Bears
A survey by Citigroup (NYSE:C) of professional investors found investing in commodities is be turning bearish and growing.
Most of this is based on stocks related to basic materials, which are considered high priced at this time, with little in the way of significant profits being generated with them.
Along with the obvious building materials industries, other sectors include steel, minerals, diversified chemicals and metals.
Oil is also expected to remain level based on little increase in demand, although there is a lot of contrary thought on that, as many feel it'll rise into $90 a barrel in 2010.
In general, this survey talks more of companies reliant on commodities than they do on pure commodity plays. We also have to consider individual commodities as well, where some are poised to surge like iron ore and gold, while others need to be approached with a long term outlook.
A survey by Citigroup (NYSE:C) of professional investors found investing in commodities is be turning bearish and growing.
Most of this is based on stocks related to basic materials, which are considered high priced at this time, with little in the way of significant profits being generated with them.
Along with the obvious building materials industries, other sectors include steel, minerals, diversified chemicals and metals.
Oil is also expected to remain level based on little increase in demand, although there is a lot of contrary thought on that, as many feel it'll rise into $90 a barrel in 2010.
In general, this survey talks more of companies reliant on commodities than they do on pure commodity plays. We also have to consider individual commodities as well, where some are poised to surge like iron ore and gold, while others need to be approached with a long term outlook.
Subscribe to:
Posts (Atom)