WTF is up with this

[clavocat]

energy and precious metals just took a nose dive again...slw already down 7% pre market and same with gg su slb , damnit whens this gonna stop????????:confused:

[GDFLS]

This stinks...I guess metals needed a major correction?

What happened overnight?

[Hanger]

Unless people are buying into the unproven theory that higher interest rates are bad for gold. Thats the only thing I can think of, and people are "panic" selling here.

Can't wait for it to stop, looks like it could be a good buy-in point......unless there is some big metals news coming out, that is actually driving the price down..

Time shall tell..

[BuyOnDips]

SLW did have a big fall the last few days. I still might buy some shares, but I'll wait a week or 2 after the Peru elections before I decide to buy.

[clavocat]

SLW did have a big fall the last few days. I still might buy some shares, but I'll wait a week or 2 after the Peru elections before I decide to buy.


whats that gonna do?

[clavocat]

now watching energy and metals...it looks as though the bears are taking over...slw adm su slb gg all goin up pretty good. IMO its over.

[madcowdisease]

now watching energy and metals...it looks as though the bears are taking over...slw adm su slb gg all goin up pretty good. IMO its over.

Just a correction. Where is the demand coming from? It's not America. So all the talking heads citing interest rate increases as the cause for this selloff are full of BS. These co.s are not based in America and the demand is not from the USA. Commodities will be fine as earnings will still be strong. I won't speak for all of the stocks on your list but SU has amazing YOY earnings growth and BHP is a virtual cornucopia of anything China needs to build infrastructure. I don't think you can go wrong buying SU here as I am, and BHP needs only slide a bit lower before I take a bite.

[aj14]

Just a correction, but these things are WAY overowned in very weak hands. Give it a few days and then start to nibble.

BTW, the strength in metals has nothing to do with demand; it has to do with the horrendous financial condition of the United States, and the need to own something (anything?) other than the yankee buck. Bad times are ahead...very bad times like you have only dreamed about in your worst nightmares. The only wealth you will have left will be what you can hold in your hand; forget about what was in your bank account.

[clavocat]

omg slw down 12% this is makin me nautious

[tekbubble]

Just a correction. Where is the demand coming from? It's not America. So all the talking heads citing interest rate increases as the cause for this selloff are full of BS. These co.s are not based in America and the demand is not from the USA. Commodities will be fine as earnings will still be strong. I won't speak for all of the stocks on your list but SU has amazing YOY earnings growth and BHP is a virtual cornucopia of anything China needs to build infrastructure. I don't think you can go wrong buying SU here as I am, and BHP needs only slide a bit lower before I take a bite.


Bingo!

[madcowdisease]

Bingo!

:D

Just a correction, but these things are WAY overowned in very weak hands. Give it a few days and then start to nibble.

Agreed and you can thnk Cramer for getting the lemmings in SU. I was pissed the day he pumped SU as I knew it would increase the volatility of one of my favorite holdings.

BTW, the strength in metals has nothing to do with demand; it has to do with the horrendous financial condition of the United States, and the need to own something (anything?) other than the yankee buck. Bad times are ahead...very bad times like you have only dreamed about in your worst nightmares. The only wealth you will have left will be what you can hold in your hand; forget about what was in your bank account.

This is specific to precious metals imo. The others have industrial applications which has little to do with the American predicament. Do you care to elaborate on your doomsday hypothesis? I've been hearing about this for years now and yet nothing has happend. I'm not saying there isn't some credence to what you're predicting but I'd like to hear more.

[NATHAN LLOYD]

Bernanke raised rates to fight the deflation of the USD.
Gold was bought to hedge against the falling dollar.
Hence, people quit buying gold.

The US has way more money in US stocks than other countries do.
Thus, other countries cannot fight the selloff of the US funding companies; i.e., it doesn't matter what country the companies are from.

Mining companies were so overbought, and half of the sell-off has been or will be from panic selling.

[madcowdisease]

Bernanke raised rates to fight the deflation of the USD.

He raised rates to curb inflation. That is the mission of the FOMC. To fight inflation and keep the economy growing at a steady and sustainable pace. Your use of the term deflation is somewhat perplexing since deflation is historically used to describe price relations within the economy and the relation of the dollar to goods. When we have deflation the dollar increases in value which we clearly aren't seeing at this point in time and hence the reason Bernanke and co. raised rates and will most likely continue to do so.


Gold was bought to hedge against the falling dollar.
Hence, people quit buying gold.

This has historically been the case but the bulk of the demand for gold is now to fight inflation concerns in others economies relative to their currencies, most notably India and China whose governments and industries are spending at record levels.

The US has way more money in US stocks than other countries do.
Thus, other countries cannot fight the selloff of the US funding companies; i.e., it doesn't matter what country the companies are from.

Perhaps I need to clarify my prior statement regarding the operating headquarters of the co.s in question. My statement was predicated on the fact rising interest rates increase the cost of doing business and therefore slows the economy. Given the co.s I highlighted, Suncor & BHP Billiton, most likely get their funding from Canadian and Australian banks respectively, they are not affected by the rise of rates by the FOMC and should continue their rates of growth.

With that being said there is support for your statement in the sense that rising rates increase the yields of savings and therefore compete with stocks for available investment dollars. If you can get 5% or more by placing money in an FDIC insured bank, why the hell risk putting it in the market? But, I would argue that the growth of SU puts it in a class that should make it exempt from interest rate competition. The stocks that ought to be getting hammered are the value plays that pay dividends as they are in direct competition with bonds and bank rates based on the yield their dividends pay.

Mining companies were so overbought, and half of the sell-off has been or will be from panic selling.

Agreed, and that is why I think this is a correction. The fundamentals haven't changed and when the panic is over these stocks can resume gains based on the demand from India and China which are still buying fuels such as oil and uranium and minerals which there are too many to list.

[NATHAN LLOYD]

I agree with the last. There will be a rebound in mining stocks.
When is the question.

[NATHAN LLOYD]

I was meaning a deflation in the dollar not a deflation in prices, but I guess it can't be used that way.

I'll be investing in your SU when oil turns around and starts to go up. I like the volatility of the lemmings lol. ;)

[madcowdisease]

I was meaning a deflation in the dollar not a deflation in prices, but I guess it can't be used that way.

I'll be investing in your SU when oil turns around and starts to go up. I like the volatility of the lemmings lol. ;)

You will have missed the boat if you wait for oil to turn up. As you likely wll know oil stocks usually trade in tandem with the commodity. The institutions will always get to them before you do. Personally I'd pick away as she goes down which I don't think is much lower. Good luck.

[madcowdisease]

Hope you got in under $80