The idea of investing in commodities might sound rather daunting. Perhaps you think that you would need to be an expert to do this well. This isn’t true, as anyone can invest in the likes oil, gas, corn and copper. Gold has traditionally been the most widely-chosen commodity among investors. Let’s take a look at why this precious metal could be your secret to a great investment this year. Why Gold Is the Most Popular Commodity This is...

Denham Capital is a leading private equity firm focusing on the energy niche that is now investing $250 million in Ceiba Energy- a Latin American entity that employs power generation assets. The investment is in line with Denham Capital’s investment pattern in renewable and natural-gas power generation assets mainly in the Latin American region. The partnership banks on 80 years of management experience that Ceiba Energy is bringing to the...

Britain’s minister for environment Theresa Villiers has said that parliament will during the month receive a farming bill that is meant to guide the UK’s agricultural sector following plans to exit the European Union. During the yearly Oxford Farming Conference, Villiers said the government would be focused on funding agricultural activities that directly impact the public including improvement of animal welfare as well as addressing...

Yesterday US President Donald Trump announced that the ongoing conflict between America and Iran appears to be easing. The pronouncement reduced fears of an escalation in the conflict between the two countries, instantly reversing an initial oil spike.US crude dipped 4% the moment Trump announced a possible end to the conflict between the two nations.In his speech, the president said: “Iran appears to be standing down, which is a good thing...

Findings by the United States Department of Agriculture (USDA) showed that Brazil could soon become the world’s largest producer of soybean, after decades of market dominance by the US. Soybean production both in the US and Brazil has rapidly increased over the last decade, but the former has always taken the lead as other follows. And now a new report indicates that tables could soon turn, taking us back to 2017-2018 at a time when Brazil...

An independent UK oil company, Premier Oil, announced its decision to buy British Petroleum’s (BP) North Sea gas assets for $625 million. The Tolmount gas project, as per the announcement, will see a significant increase in Premier Oil’s stake following the investment. The project is funded by a rights issue valued at $500 million. Premier’s spokesperson also highlighted that the deal can be expected to generate as much as $1 bi...

There have been various talks and speculations about all the developments that came out of the oil shale boom in the United States, but the idea of achieving full energy independence was perhaps the most unlikely. Back in 2005, daily petroleum imports to the US hit a new high of 14 million BPD as a result of dwindling daily productions and soaring demand. By 2007, the difference between imports and exports of petroleum products stood at a deficit...

The Wall Street was all calm before the United States decided to initiate a drone strike that ultimately killed a top Iranian commander. As a result, the tone in global markets has shifted from calm to cautious due to concerns over an escalation in tensions. Whenever there is a major geopolitical event that sends shockwaves throughout the global markets, investors tend to dump equities and pile into haven assets e.g. gold, oil etc.  Here we...

2019 was a fascinating year for oil and metal traders. And this year, experts suggest it won’t be boring either.Last year’s commodities markets were majorly influenced by the US-China trade war, Brexit uncertainty, UK’s premiership elections, and slower global economic growth.President Trump seemed to have found a bargaining chip in his toolbox to bargain for whatever he wanted from the worldwide community.Being one of the large...

According to recent reports, Venezuela plans to start allowing people to purchase its oil through its own oil-backed national cryptocurrency, Petro. The country’s own president, Nicolas Maduro, confirmed this, adding that precious and industrial metals will also be added to the offer.In fact, according to El Nacional, the South American country is already offering metals like iron and steel in exchange for Petro. However, President Maduro s...

So far, precious metals seem to be having a good year. Following an official announcement from the People’s Bank of China about economic stimulus, the precious metals were seen trading higher on Thursday. Palladium, Gold, Silver, And Platinum Welcome The New Year With Bullish PatternsPalladium was reported to have hit the $1,943.23 per ounce mark. This marked a 0.36% increase for the metal or $6.91 on Thursday. Gold, on the other hand, adde...

The end of 2019 is marked with another stock market rally as the biggest indexes are hitting record highs. The S&P 500, a major US stock market index that is considered one of the best representations of the U.S. stock market, has increased in value by nearly 33% this year following a fresh all-time high set yesterday.  2019 performance  Broken down by sectors, the Information Technology industry (IT) has grown more than 50% on an a...

According to Xinhua news, Chinese Sinochem Energy that deals in the exploration and production of oil, is to sell $1.65 billion of stake to five firms that are wholly owned by the state. A subsidiary of Sinochem Group, the amount makes up 20% of Sinochem Energy’s stake. Prominent Investors To Provide Funds To Sinochem EnergyThe announcement on Friday further highlighted that the strategic investors include Citic Securities Investment Co, In...

In 2019, commodities globally enjoyed decent growth. The S&P 500 and the Invesco DB Commodity Index Tracking Fund DBC are up 27.2% and 10.5% this year, respectively.However, experts believe that 2020 could be one of commodities’ best trading years, thanks to the just concluded phase one trade deal, OPEC supply cuts, and UK elections.Following an improved oil outlook, global research firm Goldman Sachs recently raised its 12-month commod...

Experts told CNBC that the crude market has become highly volatile these past few months, making it virtually impossible to predict future prices. Throughout the year, oil prices have been affected by several things, including OPEC’s supply cuts, China-US trade war, and US sanctions to oil exporters.Apart from a growing concern on the overall global health economy, the US crude oil inventories have been surging capping global gains.Tamas Va...

After it was apparent that China and the US had agreed on the contents of the Phase 1 trade deal, prices of various commodities shot. The deal saw different tariffs cancelled and a few others reduced by both states. Policies relating to intellectual property were also tightened, and China agreed to import at least $200 billion worth of goods from the US over two years. Of the $200 billion, the two states agreed to allocate at least $80 to $100 bi...

Last week the world was treated to one of the most anticipated trade deals between China and the US. The world’s two most robust economies agreed to sign a ‘phase one’ agreement that is expected to ease tension in global markets. In the “Phase One” deal, Washington slashed some tariffs on Chinese imports while Beijing cancelled retaliatory measures that would come to force on Dec. 15.Before last week’s agreemen...

If last week’s rally after the US-China Phase One trade deal is anything to go by, then it means that investor confidence is starting to build in a market that just days ago was on a downward trend. While the effects of the 18-months long trade war could slowly be fading away, experts warn that inflation could pick up from that point unless investors get along with natural resources.But the price of gold rose last week, meaning the narrativ...

2019 has been one of the most “unusual” financial years, from the China-US trade war to last week’s UK election and then the Brexit uncertainty… As the investment space remains fuzzy, investors are looking for better ways to shield their capital. Commodities such as gold and silver have become a darling to many, due to their inverse relationship with stocks and fiat currencies. But bitcoin is also proving to be a formidabl...

Oil prices on Friday almost hit a new record high in three months following news of progressive Phase One trade agreement between China and the US as well as the just concluded UK Premiership election. Beijing and Washington on Friday reached a “Phase One” deal that would see Washington cut down tariffs imposed on Chinese goods and in exchange, China would import farm inputs from the US.The US West Texas Intermediate (WTI) crude gaine...

Thursday was an exciting day for the global markets following US President Donald Trump’s tweet saying China and the US had reached a trade deal. But just hours later, when the agreement was finally made public, the excitement started dying down due to the modesty of the deal.Gold, which had a day earlier shed a few coins following confirmation of the much-awaited trade deal on Friday made a stronger comeback as risk aversion returned to ma...

The world is going through an industrial recession, thanks to the ongoing US-China trade war. Since the intrinsic demand is not sufficient enough to sustain the economy’s liveliness, equity banks are relying more on central banks to restore the balance. Monetary authorities worldwide are initiating easing mechanisms that will offset the adverse effects of the ongoing trade war.The Fed’s decision to cut interest rates appears not to ha...

Tesco, Britain’s largest retailer, is contemplating taking a step back from its initial plan to conquer the global markets. If a recent revelation is anything to go by, the commodities retailer may soon shut down its Asian operations, in Malaysia and Thailand. Tesco is celebrating its 100th anniversary amid a recovery plan for its UK operations following a recent dramatic accounting scandal. The company’s CEO in October declared that...

The Serious Fraud Office (SFO) of the UK has officially launched an investigation into alleged bribery offense by Glencore, the world’s largest commodity trader. In a statement, the SFO said: “We are investigating suspicions of bribery in the conduct of business by the Glencore group of companies, its officials, employees, agents, and associated persons”. “Glencore has been notified today that the Serious Fraud O...

For the past thirty years, the commodities pricing structure has remained unchanged. For some of the high-value and most liquid commodities like gold, oil, and gas, the pricing regime has been opaque for decades. And even for the few technological and methodological changes that have taken place, only a handful of stakeholders were involved casting doubts about the published prices. Regulators’ efforts to police the market have been quashed...