Tuesday, November 9, 2010

GLD, CPO, BAL

For my friends on SimplySpeculation who are in stock investment. Here is one economic think I can share: Our Agriculture totally got ruined by horrible weather in summer. This means cotton and corn are very limited. Low supply means higher price. Higher price means, higher profit.

BAL: (cotton) Path Dow Jones-UBS Cotton Subindex Total Return ETN
CPO: (corn) Corn Products International, Inc
GLD: (gold) SPDR Gold Trust (ETF)

You decide.

Remember, it's not just us, American, had trouble with weather and harvest after.
Chinese who are one of the largest importer of US cotton and US corn, got in huge trouble as well.

This means higher demand. (like you need explanation)