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This Diamond Play Will Reward Bold, Forward-Thinking Investors

By , Resource Specialist, Money Morning -

diamond index Apparently diamonds really aren't forever. Although De Beers is known for its wildly successful "A Diamond Is Forever" campaign, the truth is the company helped create a market that it nearly monopolized. But over time, supply from other diamond miners added considerably to supply, eventually contributing to a decrease in the value of De Beers' […]

Thanks to a swelling Asian middle class, the outlook for the natural diamond industry is highly promising, and our Peter Krauth is going to show you just how lucrative it can be for investors with the right angle...

This Is the Best Way to Invest in Uranium Right Now

By , Money Morning -

If you've been looking at slumping stock charts and are feeling dismayed, you're not alone. It looks as if one of the best bull markets ever may be nearing the end of its run.

That has investors turning to new sectors to find profits, and it could mean it's time for you to invest in uranium.

Here's what's fueling Krauth's bullish uranium prediction, plus the best way to invest in uranium...

Stocks Are Down, but Uranium Is Set for a Double-Digit "Trump Bump"

By , Resource Specialist, Money Morning -

Uranium

Nine years into the longest, richest bull market since World War II, and the tank's nearly empty.

Even before equities started to slide in February, finding a company priced for value was like finding a needle... in a stack of needles.

From a technical perspective, the bull run isn't over just yet, but odds are good it's much closer to its end than its beginning.

That's one of the reasons I recently recommended beefing up your position in commodities, which are just beginning a secular bull "supercycle," for maximum upside - and strong protection against the inevitable slide of pricey, worn-out stocks.

So it won't be long before commodities bargains get scarce, too, but there's one in particular that's still trading at, frankly, ridiculously low prices.

I'm talking about uranium, of course, and I don't think it will be "on sale" much longer.

You see, it's just made the White House's revised list of metals critical to U.S. security. But that's not the only reason to make a move right now.

Because when bull markets in this unloved commodity get roaring, returns can easily top 1,000%...

Now Is the Best Time in 50 Years to Make This Move

By , Resource Specialist, Money Morning -

Best time

It's plain and simple: Commodities are back.

The most cyclical, and sometimes most volatile, sector is back in full "bull" mode.

The market has definitely turned: Volatility is back in stocks in a big way, the dollar is anemic - in outright free fall - fears of inflation are on the rise, and destructive, expensive trade wars loom.

On the other hand, after hitting its lowest levels in more than 20 years back in January 2016, the widely followed Commodity Research Bureau (CRB) Index is now up about 28%.

You don't have to take the numbers on their own: Some of the world's most accomplished and highly respected money managers have lately come out in favor of commodities, saying resources are the place to be in 2018 and beyond.

There's a confluence of factors making the case that we're in the very early innings of a monster commodities bull market.

Let me prove it to you - and show you my favorite way to cash in on the developing supercycle...

How to Score "Upside of Epic Proportions" in the New Commodities Boom

By , Resource Specialist, Money Morning -

Epic proportions

More than any other sector, commodities are famous for classic "booms" and "busts."

Commodities, of course, have been firmly in "bust mode" since 2011 - six years of ever-cheaper raw materials.

But there's some really compelling evidence that that's changing now. And I'm not alone - Goldman Sachs and PwC are with me here.

But what they won't tell you is how to pull down triple- or even quadruple-digit gains from this monumental shift in a totally despised sector. 

I think conditions are perfect to do just that, and when you see these charts, I'm sure you'll agree...

The Coming Tide of Inflation Will Send This Investment Soaring

By , Resource Specialist, Money Morning -

inflation

Globally, central bankers have cut interest rates nearly 700 times since the crisis in 2008, to the point that they're at the lowest levels in 5,000 years.

They're doing this to boost inflation, we all know, but so far it seems the only inflation they've been able to create is in stocks. The S&P 500 is up more than 200% since the 2009 bottom, despite the slowest U.S. economic growth in 70 years.

But it turns out you can't baste the global economy with $12 trillion in newly printed "funny money" without precipitating some consequences.

That inflation the bankers have been looking for for nearly a decade now is just a trickle, but I've got some evidence that it's about to become more of a runaway firehose. It was headed this way even before Donald Trump vowed to weaken the dollar to boost U.S. competitiveness.

This inflationary trend is boosting one asset class in particular, ahead of most others - that's why it's still "unloved" and trading at a tidy discount right now.

It won't stay that way, though...

One of the Market's Juiciest Takeover Targets Just Might Solve World Hunger, Too

By , Resource Specialist, Money Morning -

takeover target

By the time you're done reading this one sentence, roughly 20 people will have been born. In fact, around 200,000 new babies will have joined us by midnight tonight, mostly in the global East, where economic growth, along with the population, of course, is far outpacing that of the global West.

That's obviously a lot of hungry mouths to feed. The difference is that now, thanks to that economic growth, there's an increasing amount of wealth with which to buy food - and quality food, at that.

One thing that isn't increasing, however, is the amount of arable farmland on the planet. That's actually shrinking fast.

And so one of the world's most pressing challenges is the need to dramatically improve crop yields across every possible square foot. Solving this challenge is the single biggest focus in farming today.

The company I want to tell you about today is in the best possible position to profit as it helps meet the challenge head on.

The company is paying a $0.25 dividend on August 2, it's true, but there are some very good reasons why this company could be bought in the near future...

Commodities Players Are Set Up for Market-Crushing Gains

By , Resource Specialist, Money Morning -

Commodities

The resource sector's devastating five-year bear market saw the Bloomberg Commodity Index drop 60% from its 2011 peak.

Naturally, that crushed the world's dominant resource producers; the top 40 companies saw their market caps shrink by $27 billion in 2015 alone.

All along, these producers have had to clean house, slash spending, reduce headcount, and rationalize every last cent they did spend as production crashed. It was the law of the jungle in action, survival of the fittest. Plenty of producers went straight out of business.

It wasn't easy to watch, and it was even tougher to invest in.

But the cycle is swinging back in a big way, thanks to recuperating demand running up against lean supply. The Bloomberg Commodity Index has halved its bear market losses, gaining 30% since January. Some of its components have come close to doubling, too.

Remarkably, all those gains have come at an insanely low price, relative to other asset classes. And, as you'll see, this particular bull is about much more than simple supply and demand.

Here's my favorite way to get the maximum profit from what's coming next...

The Platinum Doubler of the Year, Courtesy of… Gold?

By , Resource Specialist, Money Morning -

platinum

Back in March, I recommended a broad play on platinum that's returned 56% more than the S&P 500 over the same period.

Those gains didn't happen by accident. You see, gold and platinum have a special relationship, the so-called "gold-platinum ratio."

In fact, since platinum is about 30 times more rare than gold, it's usually the more expensive of the two metals. But right now, the ratio is reversed, and gold is the more expensive metal.

That situation never lasts, and we're actually seeing the gold-platinum ratio right itself now. It's been partially responsible for some very nice gains in both metals recently...

Platinum prices are up more than 11% since March in a classic case of low supply and high demand.

Output from South Africa, the world's top producer, has plunged amid dwindling capital investment and spiraling labor unrest. On the other hand, demand from car makers, the most important platinum consumers, in need of autocatalysts has surged due to dramatically higher auto sales.

What's more, the platinum deficit is growing, and many miners have seen their share prices more than double.

Now I've found the one mining stock with the most room left to run. Like I said, the ratio is swinging back in platinum's favor right now. So there's still time to participate in this lucrative bull market and leverage your gains in the process...

...but not for much longer...

Why I'm Still Short Miners (and You Should Be Too)

By , Global Credit Strategist, Money Morning • @MichaelELewitt -

miners

The industrial commodities complex is riding the crest of this infernal "bear market rally." This is unlikely to last. I'm still bearish on the commodities, and with good reason.

Today I thought it would be worthwhile to check in on a few of the short plays I recommended on miners last year and put their "improved" status into perspective.

Spoiler alert: You'll want to buy puts on these...

This Metals Play Will Reward Investors for a Long View

By , Resource Specialist, Money Morning -

Most of the time, platinum costs about 30% more than gold. That's been the average for the past 40 years.

But every once in a while, that relationship gets distorted. When that happens, platinum surges powerfully, producing huge returns for investors who get in at the right time and stay the course through any volatility that comes our way over the next few months.

But... that distortion is unfolding now, so it's time to make a move to play platinum.

We won't get another chance like this for years...

The Commodity Prices Nightmare of 2015

By , Associate Editor, Money Morning • @AlexMcGuire92 -

commodity prices

Commodity prices have been getting decimated in 2015.

We mostly hear about the decline in energy since oil and natural gas are down 33.4% and 38.5% this year.

But this comprehensive chart shows how energy is just the tip of the commodities iceberg...

How to Spot the Commodities Recovery First

By , Resource Specialist, Money Morning -

commodities recovery

Commodities prices have essentially crashed.

The Thomson Reuters/CoreCommodities CRB Commodity Index peaked near 365 in 2011.

Today it sits at just 189, a brutal loss of more than 48%. Gold, silver, oil, natural gas, uranium, coal, iron ore, and copper are all at or near multiyear lows.

It's been devastating for companies producing them and countries dependent on exporting them.

But by definition, commodity production is a cyclical business, and what goes down simply must come up.

In fact, there's so much upside potential at the other end of this sector-wide slump that my eyes have been glued to some important indicators - including some that few others are looking at.

When a bottom and recovery develops, it will appear here first. That will give us the earliest opportunity to capture gains on the way up.

I really like what I see right now. Let me show you...

If These Commodity Prices Tank… Run for Your Life

By , Capital Wave Strategist, Money Morning • @WallStreet_II -

copper

Both U.S. and overseas stocks have been rallying since their ugly August sell-off.

But, if these key commodity prices tank, expect stock prices to follow.

Oil and copper hold the keys to the future of stock prices...

Here's why...

Thanks to Glencore, That "Ticking" Sound You Hear Is the World Stock Market

By , Capital Wave Strategist, Money Morning • @WallStreet_II -

Glencore

It's the biggest commodities-trading player on Earth. And it's in big trouble. I'm speaking, of course, about Glencore Plc.

Here's the truth about how close the company is to the edge of the cliff, how markets would be affected by a Glencore "credit event," the signals that will tell you a crash is imminent...

And how to protect yourself and profit from this company's extreme difficulties.

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