We often hear expressions about the "third world" and "third world countries." These are associated with poorer nations, but is that really what "third world" means? The term came out of the cold war whe Communist nations were considered part of the "second world" and non-aligned countries part of the "third." That would leave the "First World" for the free democratic nations with large booming economies, countries like the U.S.A. and Japan.
Japan and the U.S. have much in common these days. They both have weak currencies encouraged by well-meaning by inept governments. They both suffer to a degree from inflation. Their governments both have huge deficit spending and an inability to balance their checkbooks.
On things like "trade balance" Japan fares a little better, having had its corporate leaders, especially car makers, convince their government that prosperity depended upon exports. There are plenty of inept corporate leaders in America trying to convince our government of the same thing. But the truth is that a strong currency means less inflation and inevitably a stronger economy for all the citizens of the nation that espouses a strong currency. Strength requires an ability to repay debts without resorting to printing up masses of worthless currency so that inflation will help the ability to repay with worthless currency what was once considered valuable.
Our article on the Japanese Yen is in the Archives Section, below.
05-15-2008: June Japanese Yen: Two Stuggling Economies
05-06-2008: June CCI Index: Strengthening Dollar Halts Inflation
04-28-2008: June S&P 500 Index: Inflation Trap Closes
04-23-2008: June Gold: Life Cycle of a Bubble
04-10-2008: July Rough Rice: Unlimited Exports
04-04-2008: July Platinum: So. African Power Shortage
04-01-2008: May Natural Gas: Cost of Storage Significant
03-15-2008: May Lumber: Home Improvement Soars as Lumber Mills Close
03-10-2008: April Lean Hogs: Farmers Do Not Restrain Production
03-08-2008: July Soybean Oil: Supply/Demand Tops Profit Taking
03-02-2008: June British Pound: Tethered to American Economy
02-24-2008: March Swiss Franc: Safe Haven There
02-17-2008: March Cotton: Too Much In Storage
02-08-2008: March Soybeans: Acreage Shifts Elsewhere
02-03-2008: March Silver: Demand Up, Production Down
01-31-2008: March Crude Oil: OPEC Loses Control of Pricing
01-26-2008: March Cocoa: Neglect, Disease, Dry Weather
01-22-2008: March Corn: Fertilizer and Acreage Shortages
Updated once a week (usually on Saturdays.)
# Commodity BS Buy Sell Last Gain Intended Rough Group
(Loss) Risk Percent
11 Jul Soybean Oil L 59.27 61.85 $ 16,698 14,784 12.1% Soys
8 Jun British Pound L 194.22 195.14 $ 4,360 14,100 15.5% Currency
8 Jul Cocoa C 25.65 27.58 26.76 $ 15,200 14,400 5.9% Cocoa
20 Jul Corn C 588.10 622.50 591.00 $ 33,800 14,200 11.8% Grains
5 Jul Crude Oil C 123.09 126.79 126.04 $ 18,350 14,950 6.1% Petrol
9 Jun CCI_Index (500 X C 547.90 554.70 552.00 $ 30,330 14,850 6.1% Finance
9 Jul Cotton #2 S 72.11 71.96 $ 405 12,465 5.1% Cotton
10 Jun Gold C 864.40 900.80 899.90 $ 36,100 13,900 16.7% Prec Met
5 Jun Japanese Yen C 95.18 96.51 96.16 $ 8,163 11,188 15.5% Currency
8 Jul Lumber C 242.20 253.80 245.90 $ 9,968 11,176 4.6% Lumber
10 Jul Lean Hogs S 77.64 76.25 $ 5,260 12,800 5.2% Pork
7 Jul Natural Gas Mini L 11.31 11.26 $ -1,085 14,175 5.8% Nat Gas
13 Jul Platinum C 202.30 216.00 213.20 $ 8,515 13,975 16.7% Prec Met
12 Jul Rough Rice C 207.13 235.00 200.65 $ 66,528 14,712 11.8% Grains
9 Jun Swiss Franc C 94.71 95.65 95.52 $ 10,305 12,600 15.5% Currency
6 Jul Silver C 16.13 17.29 16.96 $ 34,620 12,900 16.7% Prec Met
25 Jul Soybeans C 131.72 139.63 137.80 $ 98,125 14,750 12.1% Soys
9 Jun S & P 500 E-Mini C 139.10 141.80 142.58 $ 11,880 12,150 5.0% Stock Id
Adjustment for Open Positions: -($ 25,638)
Prior to 5/12:
Other Gains/-Losses This Reporting Period: $1,670,266 ***
*** For Contracts Closed or Rolled Forward __________
Total for all Trades: $2,052,150
Trading in commodities involves substantial risk and past performance is no guarantee of future profits. Zenith does not sell advice nor does it manage discretionary accounts other than its own. Readers should be aware of the vested interest that all traders/brokers have in encouraging other traders to make the same transactions. No one should follow investment advice blindly. This web site should be used only as a "sounding board" for confirming one's own opinion. Any suggested order placements should be reviewed and reset to fit current market conditions by individual traders.Recommendations may include trades which have already been made on the same or a previous day, otherwise the issue is placed on a "watch list." Suggested trades are based upon an approximate maximum $15,000 capitalization requirement per trade, depending upon initial contract margin requirements. Zenith's actual trades may be larger. $22 per round turn for futures is deducted from profit figures. Commodity option trade recommendations are not tracked, but performance should parallel that of the underlying commodity's.
