Pros and Cons of the U.S. Shale Oil Boom (Really?)

Posted on by Adam Feik

Adam Feik - INO.com Contributor - Energies


Ten years ago, who would have imagined this headline?

I remember a comment made almost in passing by a mentor of mine, circa 2005. At the time, oil prices had spiked north of $50 per barrel, which was historically very high, and appeared set to continue rising. Worse, the U.S. – and a large segment of our economy – seemed almost totally dependent upon foreign countries harboring various levels of hostility against us.

Against this backdrop, my mentor said something to this effect: "What the U.S. needs is like another 'Manhattan Project' – only this time, the project would be coming up with a way for our country to become energy independent."

Perhaps you have similar memories of "pre-fracking boom" life in America. Continue reading "Pros and Cons of the U.S. Shale Oil Boom (Really?)" →

Tax Advice for Active Traders: Understanding the 2015 Tax Laws to Avoid Stiff Tax Rates

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By: Max D. - Max is a technical writer who regularly contributes financial topics to Farnsfield Research, and other investing blogs. Max spends his time running multiple companies in the financial sector. This allows him to have a constant finger on the pulse of the industry.

As millions of Americans file their income taxes prior to the April 15, 2015 deadline, traders must face the decision of how to report capital gains or loss according to IRS specifications. In the world of the New York Stock Exchange, a single trade, which may involve any number of stocks, can represent thousands of dollars. To reap the greatest amount of financial benefit from the passage of the Commodities Futures Modernization Act of 2000 and reduced tax rates of capital gains and losses, traders must understand how to properly report these securities and commodities on their tax return. Continue reading "Tax Advice for Active Traders: Understanding the 2015 Tax Laws to Avoid Stiff Tax Rates" →

Global Insecurity Is Good for Gold, Says Mike Niehuser

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The Gold Report: Gold and silver have both demonstrated explosive growth in 2015. Why has this happened, and will it continue?

Mike Niehuser: Well, I am not sure that I would categorize a higher gold price in the first part of 2015 as "explosive." Since the beginning of 2015, gold appears to be trading within a band of $1,200 to $1,300 an ounce ($1,2001,300/oz). While this is not "explosive" from a broader perspective, it is certainly a relief compared to declines in 2013, so let's just say gold has done well so far in 2015.

Despite declines over the last couple of years, gold is still well above its lows prior to Sept. 11, 2001. It has held up in spite of concerns for deflation resulting from a global economic slowdown. This has not been helped by loose monetary policies.

"Alexco Resource Corp.'s environmental business continues to grow and cover overhead while the company unlocks the exploration upside at Keno Hill."

I think the strength is in part due to what Sen. John McCain characterized as being in "an unprecedented period of global turmoil." Russia has reclaimed the Crimea and is in the process of annexing eastern Ukraine. The same could be said for insurgents in Iraq and eastern Syria. Concerns over the repayment of Greek debt, nuclear issues in Iran and an unsettled path for a maturing China should keep things interesting for gold.

Also, it is not clear how the recent collapse in oil prices will impact the economies or political stability of oil-producing nations, such as Russia and Iran. The conventional solution seems to be economic sanctions, but it has been said, "When goods stop flowing across borders, armies soon follow." At least North Korea is out of the headlines.

International anxiety may be good for gold prices as gold continues to have a place as a store of value in uncertain times.

TGR: What are your metals prices forecasts for 2015? Continue reading "Global Insecurity Is Good for Gold, Says Mike Niehuser" →

This Forgotten Icon is About to Make a Big Comeback

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By: Joseph Hogue of Street Authority

No matter how well run a company is, sometimes there is nothing management can do to avoid steep losses. Sometimes these outside forces are so strong that investors write a stock off altogether and wonder if the industry will ever be profitable again.

Few industries were hit as hard by the Great Recession as recreational vehicles. The plummeting stock market could not have come at a worse time for baby boomers approaching retirement, and fear over retirement savings caused motorhome shipments to drop more than 50% between 2007 and 2009. Even when gasoline prices fell during the recession, they quickly recovered, making cross-country trips unrealistic for many Americans.

One company has been a symbol of the industry for more than 50 years, but it came close to bankruptcy during the recession. Now shares look ready to move higher as some of the forces that worked against it change in its favor. Continue reading "This Forgotten Icon is About to Make a Big Comeback" →

The Currency War Has Expanded to New Fronts

Posted on by The INO.com Team

By: Elliott Wave International

Editor's note: This article was adapted, with permission, from the February issue of The Elliott Wave Financial Forecast, a publication of Elliott Wave International. All data is as of Jan. 30, 2015. Click here to read the complete version of the article, including specific near-term forecasts, for free.

The "Currency War" we discussed in our October issue of The Elliott Wave Financial Forecast and again in the January issue has expanded to new fronts, as world central banks fought to remain economically competitive by trying to push down the value of their currencies.

Singapore became at least the ninth nation to "jump on the easing bandwagon" in January, employing loose monetary measures designed to reduce the value of the Singapore dollar.

Our long term bullish forecast for the U.S. dollar remains on track, and this month the Dollar Index jumped to 95.527, retracing 50% of its decline from 121.020 in July 2011 to 70.700 in March 2008. Continue reading "The Currency War Has Expanded to New Fronts" →