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Dow Jones Live tracks the movement of industry sectors through the investment worlds to monitor trends and position smart money ahead of these trend for maximum profit. At present, not surprisingly, Dow Jones Live detects the biggest trends in the resource sector. In particular, Dow Jones Live finds supply and demand factors at the heart of rare earth opportunities. Dow Jones Live also detects fossil fuel plays as continuing to benefit from rising energy costs. As a sub-niche, Dow Jones Live sees rapid developments in the new technology companies seeking to extract previously trapped oil and gas. Of course, the decade-long bull market in precious metals is raging strong, and the rapid rise of spot metal prices triggered Dow Jones Live indicators for company earnings to ratchet higher accordingly.
Dow Jones Live – Real-time Factors To Predict The Winning Rare Earth Companies
Rare earth companies face a particular obstacle long after locating a deposit worth mining. Rare earth elements are not quite like precious metals. They are harder to process into eventual rare earth oxides that can be used in various applications. The processing is even more difficult for what’s known as the heavy rare earth elements. The ore that contains rare earths is typically very complex and it’s hard to separate out the good from the bad. The complexity of the processing actually stacks the deck against companies, even if they do find a world-class deposit.
Speaking of world-class deposit, it’s important to note that it’s not even the magnitude of the deposit when rare earths are at issue. A large deposit of poor quality may not pan out. And it takes talented management to be able to know when it’s best to fish or cut bait. The rise in rare earth products certainly allows more companies than ever to pile into the pursuit of these much needed resources. But the simple numbers tell us that a relatively small percentage will succeed. And with the added complexity of the rare earth process, the odds are even more exaggerated. So, it’s important in this instance, as much or more than ever, for the company to have the cash needed to persevere and stay in the game. Supposing that a significant deposit is located, and that the grade is economically feasible relative to the size of the deposit, everything still takes time, which is money. Outside of a joint venture acceptable to all, the “successful” company would then need to move on to put in place all the infrastructure and begin mining operations.
Dow Jones Live – Real-time Factors To Predict The Winning Fossil Fuel Companies
Crude oil is the energy staple of the world. Where the crude oil flows, economic prosperity it to be expected, if not already in forthright abundance. Generally speaking, economies lacking a base of productivity that thrives on oil essentially don’t register on the radar. The United States has been a major driving force in the oil market, as the consumer of about one-fourth of all oil. But that top dog of consumption is being challenged by the surge of blossoming economies in India and China.
The numbers are actually mind boggling, and suggest that you could be surprised the next time you look up your favorite oil or gas play. The combined population of China and India is nearly 10 times that of the United States. If the number of oil users in the general population of those countries approximated that of America, consumption would skyrocket. To make matters worse, the per person use of oil, in the form of gasoline is a mere fraction of people in the United States, where everyone owns their own car. If the number of users increases, and the magnitude of consumption even comes close to parity with the Unites States, massive increases in oil prices are simply unavoidable.
Dow Jones Live – Real-time Factors To Predict The Winning “New Technology” Companies
While the standard fossil fuel producers will generate handsome returns in light of skyrocketing prices, some of the most explosive potential is pent up in those companies exploiting the new technologies. After tapping the easy oil and gas for over a hundred years or so, the time has come for man to pursue the “unconventional” oil and gas.
With talk of “peak oil” being bantered about, most people are inclined to think that we are simply running out of fossil fuels. While we are no doubt using up these non-renewable natural resources, the truth is that there is plenty of oil and gas still around. The problem, however, is that a decent amount of the oil and gas that remains is tough to extract. Whereas we’ve simply walked away in the past, the time has come to turn to new technologies to insist that we get the goods out of the ground. When the normal geological pressures no longer force the materials up the pipe, we have to use force.
You may have heard of the oil sands. You might have even heard of shale oil. This oil is now accessible and is being brought online. What you might not have heard about, or heard as much about, is the shale gas explosion on the horizon. Massive shale gas formations, such as those on the East coast of the United States (Marcellus Shale), are the site of tens of thousands of future wells to tap previously trapped gas.
The new technologies are diverse, including advanced methods of drilling, such as horizontal drilling. There’s also 3D seismic imaging and the highly touted hydraulic fracturing. Then there’s CO2 injection as well. Pumping water down the well can be used to created added pressure to help release oil. Steam is harder to work with, but it is also a technique that can be deployed, if the numbers work and the production can offset the added costs. There are even ways to pull nitrogen out of the air created added pressure, as is currently being used in some cases with offshore wells.
Dow Jones Live – Real-time Factors To Predict The Winning Precious Metal Mining Companies
Dow Jones Live detects a particularly robust opportunity in precious metals. Precious metal miners are enjoying record spot metal prices. With operational costs that are generally fixed, additional money per ounce of gold or silver almost goes entirely to the bottom line. The internal rate of return for miners explodes to the upside and the profitability is reflected in the share price as the market re-evaluates the company’s worth accordingly. While this is true of the producers, the potential for exploration companies is even greater. These companies are often literally penny stocks, and are less likely to be found in silver ETF or gold ETF funds. As pennies turn to dollars, the return is not uncommonly thousands of percent, and the Dow Jones Live signal is based on these and related factors.
