Salient to Investors: Gold traders are the most bullish in four months, investors bought 60 percent more this year through gold-backed ETPs versus with 2011. Gold is headed for a 12th consecutive annual gain, the longest run in at least nine decades. Nations from Brazil to Iraq to Russia are buying gold
READ MORE... →Salient to Investors: EPFR Global said the increase in inflows into commodity funds in 2012 was 92 percent higher than the increase in 2011. The S&P GSCI, of which energy comprises 70 percent, fell 0.9 percent in 2012, the MSCI All-Country World Index rose 13 percent, the Dollar Index fell 0.9 percent, Treasuries returned 2.3 percent. Barclays
READ MORE... →Salient to Investors: John Stephenson at First Asset Investment Mgmt said the Fed basically admitted that they don’t have what it takes to deal with the fiscal cliff, and it dimmed the idea that unlimited money printing will help commodities. Saumil Parikh at Pimco said global growth will slow to near stall speed in 2013
READ MORE... →Salient to Investors: Peter Oppenheimer at Goldman Sachs said: Quantitative easings have left little value in the credit markets, so investors should look for returns in European equities over bonds. The STOXX Europe 600 could see annual returns of more than 7 percent despite stagnation in the euro area. Because of a net absence
READ MORE... →Salient to Investors: Mark Mobius at Templeton Emerging Markets said: Developing-nation equities will climb in 2013 on low debt levels, high foreign exchange reserves, economic growth that may average 5 percent in 2013, central banks adding money to the financial system. Low interest rates make equities very attractive. sending institutions et al on an incredible hunt for returns, including frontier
READ MORE... →Salient to Investors: Hawaii tourism revenue is at a record, spurring real estate investments. Oracle founder Larry Ellison this year bought 98 percent of the island of Lanai. Goldman Sachs lent $1.85 billion to a once-distressed hotel portfolio with five Hawaiian properties. Companies from Walt Disney Co. to Starwood Hotels are expanding resorts. Hospitality Advisors says demand has
READ MORE... →Salient to Investors: Jeffrey Currie at Goldman Sachs said investors should be overweight in commodities because prices will gain 7 percent in 12 months on improving global economic growth, while rising consumption may limit immediate supplies and raise near-term prices above longer-dated contracts. Goldman said gold’s longest winning streak in at least nine decades
READ MORE... →Salient to Investors: Peter Richardson and Hussein Allidina at Morgan Stanley said: Calls for the end of the commodities super-cycle is too simplistic as commodities are cyclical but the elasticity of supply and demand and length of the cycle vary significantly. Gold, silver and corn will outperform other raw materials next year
READ MORE... →Salient to Investors: Jan Hatzius at Goldman Sachs said the private sector surpluses is the mirror image of public sector deficits. Hatzius says the economic crisis will end in 2013, followed by US growth over 3%. After 2013, the US economy will benefit significantly from a relevering private sector (lower savings) with the worst of the fiscal drag coming to
READ MORE... →Salient to Investors: Goldman Sachs said homebuilders have already priced in the housing recovery, so investors need to look beyond these stocks for the ripple effects of housing stabilization – like certain versions of the ABX and US domestic banks. Kyle Bass at Hayman Capital Mgmt said senior-ranked subprime debt offer
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