VF is an awesome community of bright, serious, passionate and involved individual investors.more testimonials »
Sector Wrap: Gold, Oil Wednesday, March 31, 4:48 PM ET
Today marks the end of the first quarter and investors should be pleased. The Dow has rebounded well from its February lows to gain almost 4.5% during the first three months of the year. So far this week, the Dow has added another 0.4% helping push the average closer to 11,000 for the first time since 2008. The S&P 500 is also performing well, gaining more than 0.5% and the Nasdaq has fared the best again, gaining more than 0.7% on the week.
Despite the optimism in the markets, the monthly jobs report from the ADP dampened the mood a bit. This morning's report said employers eliminated 23,000 jobs in March, much worse than the 40,000 job gain economists had been expecting. This has investors wondering about the direction of the labor market and they will look to the Labor Department report due out on Friday. While the dollar slumped following the ADP report, gold prices caught a bid, climbing to $1,115 per ounce today. Gold has remained relatively flat so far this year, but further weakness from the global economy could translate into higher prices going forward.
Investors looking to take advantage of the moves in gold need to look no further than the SPDR Gold Trust (AMEX:GLD) which is trading higher by 0.5% this week follwing today's 1% gain.
And other commodities catching a bid this week include natural gas. Goldman Sachs upgraded the E&P Sector this week on the belief that natural gas prices could rise above $6 by the end of 2010. In their report, Goldman identified Southwestern Energy (NYSE:SWN) and Patterson-UTI Energy (NASDAQ:PTEN) as companies who are poised to move with the price of natural gas.
While the US Natural Gas Fund (AMEX:UNG) is off more than thirty percent this quarter, Goldman sees a turnaround later this year. Despite the report, however, shares are off more than 1.5% today.
Any ideas and opinions presented in all Market News Video clips are for informational and educational purposes
only, and do not reflect the opinions of BNK Invest, Inc. or any of its affiliates, subsidiaries or partners.
In no way should any content contained herein be interpreted to represent trading or investment advice.
None of the information contained herein constitutes a recommendation that any particular security, portfolio,
transaction, or investment strategy is suitable for any specific person. All viewers agree that under no
circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held
liable for any loss or damage caused by your reliance on information obtained. Read Full Disclaimer.