Month: September 2017

These Stocks Could Offer A Bargain As Silver Soars

Posted on by Aibek Burabayev

Aibek Burabayev - INO.com Contributor - Metals


Silver hit a 3-month high last week, but there is still plenty room for gains on the way to the conservative upside target above $21 level.

Last week I analyzed the top gold stocks, and I thought it would be interesting to look at the silver stocks to see if there are good opportunities amid Silver's growth. My previous update on the top silver stocks ranked by P/E was posted in July. This time I will use ROE (return on equity) as a selection criterion.

Table 1. Top Silver Stocks By Return-On-Equity (ROE)

Top Silver Stocks By Return-On-Equity (ROE)
Image courtesy of finviz.com

Top 3 silver stocks by ROE are SSR Mining Inc. (SSRM) (former ticker SSRI), Coeur Mining, Inc. (CDE) and Pan American Silver Corp. (PAAS) .

The leading silver stocks show pale performance compared to the top gold stocks, which have a ROE range between 10% and 30% while only one of the silver stock’s reading is above the 10% threshold. But the ROE above 8.5% is still an outstanding performance overall. Continue reading "These Stocks Could Offer A Bargain As Silver Soars" →

Weekly Futures Recap With Mike Seery

Posted on by The INO.com Team

We've asked Michael Seery of SEERYFUTURES.COM to give our INO readers a weekly recap of the Futures market. He has been Senior Analyst for close to 15 years and has extensive knowledge of all of the commodity and option markets.

Michael frequently appears on multiple business networks including Bloomberg news, Fox Business, CNBC Worldwide, CNN Business, and Bloomberg TV. He is also a guest on First Business, which is a national and internationally syndicated business show.

Gold Futures

Gold futures in the December contract settled last Friday in New York at 1,297 an ounce while currently trading at 1,324 up about $27 for the week trading far above it's 20 and 100-day moving average. This trend continues to the upside on a weekly basis as prices have now hit a 10-month high. Tensions with North Korea escalated this week as they sent another missile over Japan which continues to support gold prices and I don't think that situation is going away anytime soon. If you are long a futures contract, continue to place the stop loss under the 10-day low which stands at 1,278 as the chart structure is poor because prices have run up rather quickly this week. The U.S. dollar has also hit a 2-year low which is supporting gold & the precious metals across the board with the next significant level of resistance at 1,350. If that level is broken, you would have to think that we could test the $1,400 level. Gold prices will depend on what North Korea and the United States conflict turns into as I don't see any other situation than the United States doing some military action against their nuclear facilities. This problem is getting worse not better as diplomatic negotiations have not worked for years so continue to play this to the upside.
TREND: HIGHER
CHART STRUCTURE: POOR
Continue reading "Weekly Futures Recap With Mike Seery" →

China: Signals From Dim Sum Bonds

Posted on by Lior Alkalay

Lior Alkalay - INO.com Contributor


Over the past three years, a dark cloud has been looming large in China—a massive debt bubble. It seems that, with each bit of good news, whether it’s GDP growth hitting 6.9% for the second quarter in a row, exports climbing to 7.2% Year on Year or Retail Sales surging by 10.4%, the dark cloud of a looming debt crisis grows darker and more menacing. So, when investors suddenly find their appetite whetted for Offshore Chinese debt, one should sit up and take notice.

Chinese Offshore RMB bonds, amusingly nicknamed Dim Sum bonds, are relatively new in the market, existing only since 2007. The Dim Sums’ appeal is, that they trade on offshore markets, rather than in mainland China, thereby allowing investors to buy Chinese debt without the risk of interference from Chinese regulators. As a result, the performance of Dim Sum bonds reflects the sentiment of Chinese debt more accurately. Continue reading "China: Signals From Dim Sum Bonds" →

The Debt Storm Is Coming

Posted on by Matt Thalman

Matt Thalman - INO.com Contributor - ETFs


While we can debate until we are blue in the face the actual ins and outs of what causes recessions, most would agree that high debt loads play a significant role. If we look back at the 2008-2009 recession, this is very true. Or the dot.com bubble bursting, debt played a large role. Even go a little further back into history and look at the 1929 stock market crash and subsequent recession, mostly fueled by margin trading (investors trading with borrowed money, i.e., using debt to fuel larger trades).

At this point, not many people are talking about the United States current debt levels. Not only is the U.S. government's debt level out of control, but more importantly consumer debt levels are also out of control, and that is likely the more concerning issue.

When consumer debt gets out of hand, first we begin to see increased levels of defaults. That leads to reduced levels of credit as the institutions who lend credit begin to tighten their requirements to borrow. With less available credit, consumers begin spending less on discretionary purchases because they either can't get credit or have maxed out what credit they did possess. Lower spending leads to lower profitability for consumer facing companies, which then leads to a reduced number of jobs in those sectors. Continue reading "The Debt Storm Is Coming" →