Don Coxe’s final Basic Points. Everyone should read this; I recommend printing it…
With usual wit, Jim Grant survey’s the monetary environment and takes a good look at Google and General Motors too. Grant’s Pub
For the more serious economic student: WEALTH EFFECTS REVISITED 1978-2009 at Yale.
David Kelly commentary laden with long term charts at JP Morgan. (Not the most user friendly presentation.)
Bill Gross’ monthly Investment Outlook Money for Nothin’ Writing Checks for Free at Pimco.
“Another week, another missed target for natural gas storage.” Haynesville Play
“The weekly chart for the coal sector is most intriguing with its strong push this week out of the diamond bottom formation. The pattern spanned over six months and I would expect a huge measured move higher if confirmed.” (Chess) Additionally, note the reference is to KOL, an ETF which is largely made of foreign and Asian coal companies (with little US exposure). It’s a derivative of China. Chinese Coal Miner Up Big As ‘Cliff’ Averted by Emerging Money.
Copper Soars on Demand Outlook at the WSJ.
Iron ore: Rio’s Walsh rains on everybody’s parade at Mining.
ISA-ACI does have China exposure and the chart for ACI is beautifully bulllish, but CLD is still your favorite play. While CLD’s chart isn’t quite the “Picasso” of charts are you still more bulllish on CLD?
Seems everyone enjoys charts, but ISA is fundamentalist at heart.
Perhaps ACI rips higher. But the the company is over-leveraged and high cost. Recently ACI borrowed money at 10% to increase liquidity a modest amount. This occured since my essay was published: http://seekingalpha.com/article/841941-arch-coal-walking-dead
Whereas CLD is the low cost producer in perhaps the best basin and well financed.
Basic Points, a long but must read! If you can, please keeping posting them, Mr Butler.
Don Coxe is a fantastic thinker. This was his last Basic Points…truely the end of an era. He promised to continue sharing his thoughts through a different vehicle…and I look forward to it too.
Great article (as usual) by Bill Gross. It is important to keep looking at the big picture.