Daily FNArena News - Commodities

As predicted last week, ABARE’s update on Australia’s commodities has led to further price increases for many mineral resources.

Julius Baer agrees with other experts, including GFMS, spot gold will be heading towards US$700/oz soon. But reaching the target will take a bit longer than forecast.

Our colleagues at Stockinterview.com had a very interesting chat with a uranium expert from Sprott Asset Management. We believe it is recommended reading for anyone following this market.

The peak oil thesis is losing supporters. In addition there seem to be more than one reason why the spot oil price is likely to fall further still.

ABN Amro suggests the boom is now over, while Morgan Stanley suggests it has further to run. The conclusion is the same though, booming commodity prices are coming to an end.

Chartists at Barclays Capital believe a relief rally in gold next week is a real possibility.

The latest update to the world’s most authoritative annual gold survey was released today and a return of investor buying is the significant prediction.

Gold has tested critical support at US$579/oz. So far so good. But there is a lot of fear in the market. Why are the bulls still so bullish?

Analysts have been telling us commodity prices are overbought for, oh, years? Maybe now they really are.

Macquarie strategists are calling a recession to come in the US and recommend underweighting resources stocks in a market portfolio.