Waldocktrades - Commodity Futures Trading Blog
Weekly Commodity Futures Blog by Andy Waldock
Commodity Trading - Future and Present

Greek Default Imminent

The inability of Greece to form a government along with the tremendous support for radical parties is indicative of a sovereign nation refusing to give up control. The bailout funds are already being withheld as the Troika sees the writing on the wall.<< MORE >>

Austerity Rebellion

The general consensus of the week’s events can be summed up as deflationary. Unfortunately, this bodes poorly for global economies and unravels the tenuous global grasp on a Greek default and European Union unrest. We’ll take a brief look at the Greek and French elections, their effect on deflation and social unrest and finish with three places to invest that should beat negative yield Treasuries and deflationary assets.<< MORE >>

The Bernanke Put - Euro Style

The Spanish debt auction proceeded in an orderly fashion even as yields crept higher. The general consensus appears to be that Spain is too big to fail. I would suggest that Spain might be too big to save.<< MORE >>

Buy the Atypical Mad Cow News

The atypical mad cow finding in California creates the standard, "sell first, ask questions later" reaction. However, a close examination of the effects mad cow disease on live cattle futures suggests that buying the market's sell off may be the correct approach to trading it.<< MORE >>

Utah Now Accepts Gold and Silver

One hundred and fifty years ago Congress passed the Legal Tender Act, authorizing the use of paper notes to pay government bills. This week, Utah Governor, Gary Herbert signed into law House Bill157 allowing gold and silver to be used as currency in place of increasingly worthless paper notes. << MORE >>

U.S. Dollar Super Rally

There are two storm clouds on the horizon the Euro crisis and the U.S. equity markets. These two episodes could combine to force global equity markets lower, sharply hike interest rates on sovereign debt and create a super rally in the U.S. Dollar.<< MORE >>

Beans and Corn Battle for Acreage

The Prospective Planting report made two thing clear. First, the world needs more grains. Second, farmers would rather grow high profit corn than beans. The acreage imbalance has the potential to send the bean vs. corn spread to record levels.<< MORE >>

Trading the Prospective Planting Report

The USDA Prospective Planting Report sets the tone for this year's U.S. crops. Recently, analysts' estimates have been less and less accurate which has created lots of volatility within the grain markets including several limit moves on report days. Statistical analysis of the grain markets' behavior provides us with some quantitative evidence of what to expect and how we can trade the Prospective Planting Report successfully. << MORE >>

Gold Demand Will Return

The Indian jeweler's strike, in response to the Indian government's tax increases has crippled near term demand. However, Commitment of Traders analysis shows that it has been primarily the small speculators who have been washed out on the 8% decline in the gold futures market while commercial traders have been using this decline to add to their positions.<< MORE >>

The Domestic Economy is the Key to Election

The domestic economy remains the focus of this year's election. The primary components of this discussion include gas prices, unemployment and the Federal deficit. This week's article concludes this series with a summary of the previously discussed topics and possible solutions.<< MORE >>