Red-Hot Resources

"Luck is not chance, it’s toil; fortune’s expensive smile is earned.”

Tuesday, July 01, 2008

News for Tuesday

Gold futures climb to two-and-a-half-month high

Gold has seen "increased support as a safe haven investment during these uncertain economic times," Beahm said in emailed comments. "Coming off their worst June since the 1930s, the financial markets are just too volatile right now for many investors to feel confident."

Mining, fertilizers and energy to benefit from rising inflation

despite the S&P 500's troubles, as the saying goes, there's always a bull market somewhere. And when seeking strong sectors, the inflationary backdrop is worth considering.

IEA Slashes 2012 il Demand Forecast

The International Energy Agency cut more than 3 million barrels a day from its 2012 global demand forecast because record prices and slower economic growth will curb fuel purchases.
A drop in OPEC spare capacity to a ``negligible'' 1 million barrels a day by 2013 will keep the market `tight,'' the agency said in its Medium-Term Oil Market Report today. Oil above $140 is dampening consumption of motor fuels in the 27 nations advised by the Paris-based IEA, which cut demand estimates for each year between 2009 and 2012 by about 3 percent.

XX Sean's note -- More interesting stuff HERE. Funny, oil prices are up over $2 a barrel as I write this. I guess that shows traders are more worried about Israel attacking Iran than the IEA's forecasts.

OPEC Can Do Little to Curb Rally in Oil Prices, Iran's Oil Minister Says The Organization of Petroleum Exporting Countries "can't do much'' to curb soaring crude prices because the market is responding to a falling dollar, Iranian Oil Minister Gholamhossein Nozari said.

Does Iran Have Bush Over a Barrel

If United States President George W Bush wants to boost Republican chances of holding on to the White House and keeping Democratic gains in Congress to a minimum in the November elections, he might consider taking an attack on Iran before the end of his administration "off the table".

XX Sean's note -- Don't do it Iran -- don't make GWB angry. You won't like him when he's angry. "Hulk Smash!"

Soylent Green Fuel?

The World Health Organization estimates that 38.8 million Americans are now "obese" - i.e., 30 pounds or more overweight. That factors out to 583,000 tons of body fat. Since a kilogram of human fat contains 7,200 kilocalories of energy and a barrel of oil generates 1,410,579 kilocalories, Americans are hauling around (at minimum) the fat-equivalent of 2.92 million barrels of oil on their bodies.
If the concept of "flab gas" leaves you flabbergasted, prepare for a shock. Miami's Jackson Memorial Hospital reportedly has signed a deal to supply Norwegian entrepreneur Lauri Venoy with 3,000 gallons-per-week of liposuction leftovers harvested by its clinics. This bio-fat could produce 2,600 gallons of biodiesel, sufficient to fuel a Hummer for a year.

Soybeans Rise to Record as Floods Reduce U.S. Acreage, May Curb Crop Yield
Soybeans rose to $16 a bushel for the first time ever on speculation that the worst Midwest flooding in 15 years will limit gains in U.S. production and inventories. U.S. farmers may harvest 96.8 percent of the acres planted, down from an earlier forecast of 98.1 percent, the U.S. Department of Agriculture said yesterday in a report. The flood- damaged fields may curb the production increases the government forecast after farmers planted 17 percent more acres this year. Some fields may need to be replanted.

Labels: , , ,

Check out my new gold and energy blog at