Uranium and Specialty Metals: A Few of My Favorite Things, Part II

Uranium – One of the best investments you can make right now is to pick up relatively secure, low-cost uranium – the feedstock for nuclear reactors.

The demand for uranium is building in intensity like a heap of hot coals. There are already 436 reactors up and running today. And there is a surge in demand coming in the next decade from the hundred or so new reactors expected to come online. Yet the industry is about 400 million pounds short of meeting that demand, as shown in the chart below.

How Long Will China Support the US Dollar?

China says it is continuing to buy US bonds “every day.” It doesn’t have much choice. It earns money by selling things abroad. In fact, exports in February were up more than 40% over February ’09. This leaves it with a lot of foreign money – most of it in dollars. What can it do with so much money?

Deciphering the VIX Index and the Rally in Overconfidence

Hip hip, hooray! Hip hip, hooray!

Our little big bull market celebrated its one-year anniversary yesterday, albeit in tentative style. The Dow managed to eke out an 11-point gain, while the broader S&P 500 fared only slightly better. Investors, it appears, are awaiting the next catalyst to keep the momentum going. But are they running out of excuses to buy?

Ron Paul: Not Long Before the Gov’t is “Borrowing us Further Into Oblivion”

Dr. Ron Paul (R-TX) isn’t one to let his opinion go unheard… especially as Congress continues approving massive amounts of debt-financed spending.

From his recent Texas Straight Talk:

“Last week, the House approved another increase in the national debt ceiling. This means the government can borrow $1.9 trillion more to stay afloat and avoid default. It has been little more than a year since the last debt limit increase, and graphs showing the debt limit over time show a steep, almost vertical trend. 

Private Sector De-leveraging: A Rally in a Bull Costume

Yesterday marked the one-year anniversary of the rally. The Dow rose a piddly 11 points. Gold sold off $1.

This rally has gone on for so long most people think it is not a rally at all, but a new bull market. Worldwide, it has taken equities up some 73%…making it one of the greatest rallies ever.

Arrow Energy (ASX:AOE): Rising Demand in Aussie LNG

Big news: Arrow Energy (ASX:AOE), a modest energy producer, received a $3 billion takeover bid yesterday. Why was this benchwarmer story the leadoff hitter in today’s 5 Min. Forecast? Ahh, the drama’s in the details…some big trends in the making here:

Wall Street Snubbed in European Sovereign Bond Sales

It looks like US banks are losing the opportunity to earn fees on the roughly $500 billion in planned European debt offerings this year. It probably shouldn’t come as a big surprise, given the less than savory details that emerged regarding Goldman’s relationship with Greece, and the series of black eyes the euro currency has been enduring as a result of sovereign debt-related instability.

Griffon Corp (NYSE:GFF): Buy Cockroaches, Get Rich

The lowly cockroach has a tough chin. It’s survived all kinds of shocks over the years. Jungles gave way to deserts. Flatlands succumbed to urban habitats. Predators came and went over many millennia. Yet there the cockroach stood, undaunted upon its six spindly legs.

Investors could learn a few things from the cockroach.

Are Sovereign Borrowers the Next Crisis Catalyst?

Our little bull market is one year old today. Yep, that’s right, just one year ago our little cherub came into the world… And my how it has grown!

Since touching a 12-year low on March 9, 2009, the Dow has bounced more than 61%. Over the same timeframe, the S&P 500 has soared 72% and the NASDAQ has jumped 84%. These eye-popping numbers could lead one to believe that all is right with the world…or at least that all is much better than it was one year ago.

Can India Get Soaring Food Inflation Rates Under Control?

India’s inflation in food prices has been soaring lately — holding for weeks above 17 percent — due to a combination of factors including the weakest monsoon rains in nearly 40 years, new taxes on gasoline and diesel, and increased excise taxes on a wide variety of products.

From BusinessWeek:

When is the Best Time for You to Look at Junior Miners?

After a relatively quick run up in the value of gold, when’s a good time to consider taking another look?  Recently, the Wall Street Journal examined the junior miners, and the good opportunities there may be for investors interested in wisely timing stock purchases of early-stage firms.

From Wall Street Journal:

From the Greenspan Put to the Kohn Put: Our Brilliant Central Bankers

Federal Reserve Vice Chairman Donald Kohn announced his retirement on March 1, 2010. In his obligatory lament, Federal Reserve Chairman Ben S. Bernanke was half right: “The Federal Reserve and the country owe a tremendous debt of gratitude to Don Kohn.” What is good for the Fed is generally not good for the country. The influence of Donald Kohn supports this view.