Category Archives: Critical Materials

Nickel Price Breaking Into New 6 Month Highs On Crimean Crisis and Indonesian Export Ban

Nickel Price Breaking Into New 6 Month Highs On Crimean Crisis and Indonesian Export Ban
In late January I told all my subscribers that its time to watch nickel as Indonesia instituted an export ban cutting off possibly a quarter of global supply. Now six weeks later the nickel price powers through the critical $7 mark and Bloomberg writes an article entitled "Nickel Heads for Bull Market..." Its better to be six weeks early, then late. Why is nickel so important and breaking out past $7?
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Focus on Stable Platinum and Palladium Miners in N. America

Focus on Stable Platinum and Palladium Miners in N. America
The platinum and palladium market has grown substantially in the past generation in its use in catalytic converters to reduce noxious air emissions such as carbon monoxide and particulate matter from automobiles. The use of catalytic converters in the developed countries has reduced emissions drastically. However, demand is rising for catalytic converters in China as the government may be instituting increased regulations to reduce toxic air emissions. There is a major health concern in major cities in China due to thick and dark smog. The large cities are increasing regulations to control air emissions to alleviate this dangerous problem.
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U.S. Defense Department Conducting Research With Junior Rare Earth Miner

U.S. Defense Department Conducting Research With Junior Rare Earth Miner
The Pentagon just released an encouraging report that says that The West is making progress in breaking the Chinese Monopoly on heavy rare earths. The U.S. Department of Defense is hoping to build a domestic rare earth supply chain that can provide the rare earths for the military and industrial sector. Prices are basing indicating that the market believes that additional supplies of rare earths will come online. These critical rare earths are important for some of the top soaring stocks such as Apple, Tesla, Vestas, Raytheon, GM and Boeing. Closely watch the rare earth sector as the U.S. flies B-52 bombers into disputed zones with China. Escalating tensions may have major implications on the price of rare earth oxides in the West. China controls 99% of heavy rare earth production which is critical for the West’s latest military technologies. The Chinese just announced a major cut in heavy rare earth exports.
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Rare Opportunity In This Heavy Rare Earth Miner Making a High Volume Bullish Move

Rare Opportunity In This Heavy Rare Earth Miner Making a High Volume Bullish Move
No doubt over the long term commodities is the place to be as the world continues to develop and modernize. Demand for traditional commodities such as copper, oil and iron ore will continue to grow. However, strategic metals that are controlled by the Chinese such as rare earths, graphite, and tungsten could soar exponentially over the nearer term as supply shortfalls are quite risky in the near term. Although these metals are not traded like precious metals, copper and oil their role is vital for the new technologically driven global economy. Everything from wind turbines to smart phones use these strategic metals. Apple, Ford, GM, GE, Vestas and First Solar require these metals to produce their high end products. We all use these critical metals daily, yet many of us have little to no investment exposure for these vital materials. End users such as the companies mentioned above may look to invest in the junior miners to diversify away from China which uses its dominance of this sector as a negotiating tool.
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Leaders in Graphite Mining Sector Poised For Bullish Reversal

Leaders in Graphite Mining Sector Poised For Bullish Reversal
For more than a year and a half I have been investing and following the graphite sector, as I believe there is incredible growth in this material over the longer term as it's use in our latest technologies has risen exponentially in the past decade.  Graphite's use is growing in high tech materials used in smartphones, jets, high efficiency lighting and steelmaking. Take a look at Graftech (GTI), which is one of the world's largest manufacturers and providers of high quality natural and synthetic-graphite products.  The chart appears like it may be on the verge of reversing higher.  This could be due to the steelmakers increasing output as demand is rising for automobiles and construction materials.
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Could We Be Witnessing The Bottom In Potash Stocks?

Could We Be Witnessing The Bottom In Potash Stocks?
The major potash miners such as Potash Corp (POT) and Mosaic (MOS) were sold off as investors believed this could impact profits and margins with a major gap lower. Many of the junior miners were hit incredibly hard as panic selling and capitulation hit the sector. However, smart money may be adding to their positions and the gap may begin to be closed to the upside. To sell based on Uralkali may be exactly the wrong time to panic and may actually signal a bottom as investors rush to the exit. Analysts across the board cut their ratings on the potash sector and one bank went as far as expecting a major exit by investors. However, we may see just the opposite, major buying could come back into this sector.
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Turning Point For Uranium and Rare Earth Miners?

Turning Point For Uranium and Rare Earth Miners?
This recovery in the large rare earth miners may prove to be a turning point for the junior rare earth developers of critical and heavy rare earths. In 2010, rare earth prices exploded as diplomatic tensions built up with China. The demand for these metals are rising exponentially as they are used for smart phones and TV’s which is just entering the emerging world. In the Western World, there are more than seven screens per household. In China there is less than one.
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Why Platinum and Palladium Should Continue To Outperform

Why Platinum and Palladium Should Continue To Outperform
This pullback in the metals complex may give an opportunity for investors to diversify into platinum and palladium, which have both a practical use as a monetary hedge against inflation and as a critical industrial component for clean automobiles. In addition to automobiles, PGM’s are used in cell phones, jewelry and computers. Supply for Platinum group metals may be at an all time low, while increasing demand for clean automobiles, investors and consumers will need addition platinum and palladium projects in stable mining jurisdictions. Recycling can not fill the supply gap.
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The Next Price Spike Could Be In Food

The Next Price Spike Could Be In Food
Population growth combined with potential inflationary effects could lead to increased demand for food. Increasing populations with declining arable land per capita will force farmers to boost yield using the key ingredient potash. Potash or potassium salts are amazing fertilizers. They make the plant stronger and improves output. Potash helps the physical condition of the crop boosting vitality. It helps a plant's immunity to withstand drought, infection and parasites. Do not forget that potash is also used in drilling, building materials, paper, pharmaceuticals and other products.
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Why Precious Metal Investors Need To Stand Apart From The Crowd

Why Precious Metal Investors Need To Stand Apart From The Crowd
Most investors have a tough time standing apart from the crowd. That's why Jeb Handwerger says, "To be successful in the market, 99% of the people have to think you're wrong." While most investors are chasing overvalued equities, the smart money is acquiring assets that will benefit from the next uptick in inflationary pressures. In this interview with The Metals Report, Jeb Handwerger, editor of Gold Stock Trades, explains which investments will benefit most from the coming "risk-on" trade.
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