With the Presidential Election just nine months away, now is a good time to start considering how 'you' the average American can benefit from this once every four-year circus event. I recently spoke about how it's likely firearm stocks could see a boost from this event, today I would like to discuss another industry likely to see revenues increase.
But, before we jump into how you can make money this election season, let's take a look at what is making this all possible.
Hello traders and MarketClub members everywhere! ETFs can be a way to hedge yourself or even take advantage of some of the big moves that are happening in the currency and commodity markets. And, to make them a little easier to find, I've gathered "278 ETFs To Grow And Protect Your Capital."
You may know this already, but ETFs are available for practically every market, whether it's energy, precious metals, equities, bonds, currencies, sectors, you name it and there's probably an ETF out there to serve your purpose.
I gathered this list of ETFs as a quick and easy way for you to find the ETFs that relate to the sector you may want to look into to trade or use protect your investments should the market begin to head south.
Now remember, new ETFs are coming online all the time so not every ETF is on this list. But, the ones I have compiled for you are some of the most popular and biggest ETFs in the world.
In today's video, I will be looking at the general market after the mid-term elections. I will also be looking at some hot stocks and the collapse in both the crude oil (NYMEX.CL.Z14.E) and gold (FOREX:XAUUSDO) markets.
The Gold Report:Over two days, July 14 and 15, the price of gold fell over $40 per ounce ($40/oz), more than 3% of its value. To what do you attribute this drop?
Jeffrey Mosseri: I don't think it was a very extraordinary event. Gold has been trading around $1,300/oz. We see sharp upward and downward movements triggered by, for instance, something Federal Reserve Chair Janet Yellen said or a negative report by Goldman Sachs. It looks as if gold will stay in the $1,300/oz range for a little while. We'll see which way it breaks out. We believe it's going to break out on the upside.
Douglass Loud: Gold had been running up for a while, and every so often investors want to take some money off the table.
JM: The average sustaining cost of production for gold is about $1,500/oz. If gold continues to trade below that level, at some point no new mines will be brought on. Supply and demand indicates higher prices for gold. At the same time, we're dealing with a seasonal trading pattern. Usually the position for those commodities tightens up around September/October. We think this will happen again this year. Higher prices? Yes. How much higher? We don't know.
The rapid proliferation of the exchange-traded fund (ETF) industry has been a boon for investors.
Many folks now simply focus on a key sector or trend, and buy the most suitable ETF to hit their target. For these folks, the time and energy of individual stock research just isn't worth it. Yet the process of picking the right ETF can be downright confusing.
Let's say you want to own an ETF that focuses on industrial companies. Do you choose the SPDR Industrial Select Sector ETF (NYSE: XLI), the Vanguard Industrials Index ETF (NYSE: VIS) or the iShares Dow Jones U.S. Industrial Sector Index ETF (NYSE: IYJ)? Before you answer that question, know that there are also more than a dozen other industrial ETFs, with a niche focus on China, multinationals, small caps... the list goes on.
Frankly, we may have reached a point of too many ETFs, and some funds will simply wither away from a lack of interest. According to XTF.com, investors can now choose from more than 1,600 ETFs that collectively control more than $150 billion in assets. In just the month of June, 24 new ETFs were launched. It's getting hard to keep score.
The Gold Report: Gold has been hovering between $1,250 and $1,300/ounce ($1,300/oz). How have supply-and-demand factors shifted since earlier in the year, when things seemed more bullish?
Joe Foster: At the beginning of the year, gold was being driven by risk concerns. Investors started worrying about risk when we saw problems in emerging markets like Thailand, Turkey and, eventually, Ukraine. The Chinese economy seemed to be slowing down.
It was less of a supply-demand story and more one of people looking at gold as a safe haven and a hedge against some of the risks in the world.