Commodities Remain a Safe Haven

My current overweight in gold through StreetTRACKS Gold Shares (GLD), Pan American Silver Corp. (PAAS), and various oil stocks continue to do well. The natural question is, should I bail out while the getting is good?

Although I have no clue as to how much further the commodities will continue to rise, I am happy to continue owning commodity related securities. Because the U.S. economy continues to limp along, I am not excited about most consumer related stocks. And many industrial stocks are suffering because of a drop-off in demand. Thus, commodities remain a safe haven as commodities remain in short supply, even during the slowdown in the U.S.

In summary, at present I am content to be overweighted in commodities.

Disclosure: I am long StreetTracks Gold Shares, Pan American Silver stock, and various oil stocks.