Mark Anthony

Winners and Losers in Today's Market

The BDI shipping index has been up strongly for 10 consecutive days now. How often do you see something up 10 consecutive days?

This is a clear indication that shipping rate has bottomed and is rebouncing strongly. Once shipping rate recovers, of course the value of ships will also recover and that will make the loan covanent thing no longer relevant shortly.

The shipping remains one of the best sectors to be in. EXM is still a better buy than DRYS. I can not recommend DRYS even though it has dropped a lot, due to the on going share dilution. We will have to wait for the dust to settle on DRYS. But many other shipping stocks are very good buys as BDI continue to go up.

On precious metals, I want to bring attention to recently announced Norilsk Nickel palladium production drop, from 3.10M ounces a year to 2.705M ounces in 2008 and a further drop to 2.5M ounces in 2009. That's very good news for SWC, the world's only remaining producing primary palladium producer. Palladium is the most bullish of all precious metals due to the fundamentals of supply and demand.

www.nornik.ru/_upload/...

Also a strike is looming in South Africa PGM industry. I think the mining companies will WANT a strike to boost prices of PGM metals and hence boost revenue:

www.platinum.matthey.c...

Winners and Losers in Today's Market

My warning on DRYS was so timely. DRYS dropped from $12.50 to $6.50 in just two days. The crowd in DRYS is just too crowded.

That said DRYS is now way oversold and must rebounce strongly, as shorts need to cover and longs need to jump back in. The Baltic Dry Index has been up strongly for NINE successive days. The fundamentals of shipping is strong. All shipping stocks are excellent buys at current level.

On precious metals, SWC remains the best as it is the best player on the precious metal with most bullish fundamentals, palladium.

Winners and Losers in Today's Market

Remi:

You forget what an economic crisis we are facing. Apple is a good high tech company. It's just that consumers will have to stick to their basics and cut spending on un-necessary luxuries. Nothing is missed if one does not have an iPot or iPhone. I would rather keep my car, than to keep my iPhone, if I have to choose keeping one of these two. We will see in a few quarters how Apple does. For now, precious metals and shipping is the best thing you can buy.

The Real Rationale Behind Current Supply and Demand for Oil and Other Commodities

Do you guys see the blatant price manipulation on SWC today, Jan. 6, 09, when palladium price is flying up 8% for the day!!! The shorts are really becoming desperate if you look at the movements on daily chart.

PAL is up 16.5% and SWC is down?