Videos Of The Week
Videos Of The Week
A Video Focused On Coal, Oil, Uranium & A Look At The Big Picture Of The Financial System
I have a couple videos this week that I found interesting. Both videos connect the dots in different ways, but they should be time well spent for readers interested in commodities, inflation, and the financial system. The first video is focused on sectors that could outperform in coming years, like oil, coal, and uranium, and the second video is a big picture look at the connections between the Federal Reserve, bonds, oil and shale, and what could be coming for the monetary system.
In my opinion, we are in completely different environment from the last four decades. While inflation has come down off the peak, and it will fluctuate, I think inflation will continue to be higher on average for several years. That’s why I’m interested in assets (and the related businesses) that can’t be created out of thin air, which I expect will benefit in an inflationary environment. Many of these sectors have seen varying levels of underinvestment for years, and that will probably drive very attractive returns for investors based on the capital cycle.
Resource Talks w/ Trader Ferg
Trader Ferg is an interesting investor, and one that I follow on his various appearances on the investing podcast and video circuit. One of the reasons I enjoy listening to him is that he takes the big picture, and breaks it down into talking about individual stocks and sectors that look attractive. Many people avoid talking about individual investments for a variety of reasons, but he is very open on his views and holdings. I’m paraphrasing, but he basically has his entire net worth invested in the resource sectors that he follows. This includes uranium, coal, and offshore oil. If you are looking for a breakdown of these three sectors (or maybe confirmation bias), this video is for you.
Forward Guidance w/ Luke Gromen
Luke Gromen is one of my favorite analysts to listen to anytime he is making the rounds on investment podcasts and videos. He makes some interesting points about US Shale production in the US rolling over, potential issues with debt markets and long term bonds, and he talks about what he is watching for with our debt/GDP levels and other things to keep an eye on. He is expecting oil, gold, and other commodities will provide a decent safe haven, while long bonds like TLT 0.00%↑ could continue to struggle. It is hard to distill everything down into a short description, but my basic reaction to this video was “Got commodities?” It won’t be a straight line, but with the underinvestment in the sectors that make the economic world go round, I think the next three to five years looks bright for the resource sectors.