Coffee, chocolate for your portfolio

Gold isn't the only commodity taking a beating this year and poised for a turn. So if sky-high stocks are making you nervous, take a stake in something like . . . steak.

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37Comments
Apr 30, 2013 7:52PM
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The best things to invest in are the things that people HAVE to have.
May 6, 2013 10:45AM
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Invest in yourself too which includes exercise, a healthy diet, managing stress and getting enough sleep. Having good health is priceless.
May 6, 2013 8:46AM
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Commodities do make sense for some investors. But, using the futures markets and ETF’s based on futures is a horrible way to do it. These contracts pitched heavily by the financial industry settle monthly, requiring lots of trading and forward rolls just to hold a position. This goes on behind the scenes with ETF’s so the investor is rarely even aware of it. In the long run, most potential gains from commodity price increases will go to fees, commissions and trading margins before the investor ever sees a dime of profits. 

 

The futures markets are probably the worst imaginable market structure for long term buy and hold investors. It’s no wonder traders, brokers, and their financial sales associates love them so much. If you want to invest in commodities, buy the real physical goods, either directly or through a compnay that produces them. If you want to speculate and trade commodities over the short term, the paper markets might work for you.

May 1, 2013 12:38AM
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Well this is a great list of all commodities besides oil...
May 6, 2013 10:22AM
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This is fun - me and my private group of billionaire buddies love this stuff...here's what we do...

 

1) After a week of drinking, hunting rare game and playing REAL monopoly games, we all decided to pool our billions and take half of the money and sink it into the stock market over the course of a couple weeks. (don't forget releasing stories like this one to get the common-folk aware of what we want you to think)

2) All of the other 97% of the population takes notice - they think, hey, something's going on - let's buy in and make a bit of money - but wait, we're low on capital, so we should sell our gold/silver, which is on it's way down, so we can use that to buy this stock going up!

3) Then we sit and wait.  The 97% buys in stocks and drives the market up...We wait some more and use our other half of the billions we have grouped and slowly buy the gold/silver you so preciously held on too...all at bargain basement prices!

4) When the 97% start seeing gold rise in price, they pause...ha!  that's when we start selling our stocks at the inflated prices the 97% drove up even higher....When the 97% try to sell, the stock market is collapsing again!  A sheer bloodbath for the 97%...while our billions turn into more billions.....

 

Oh, then we wait for gold to peak again...and at that time, stocks will be dirt cheap. 

 

So we'll just plan another week of drinking, hunting rare game and playing REAL monopoly games

 

May 6, 2013 9:07AM
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Commodities are probably the hardest way for the casual investor to make a buck.   I recommend you stay away from them.   People in the know struggle, how do you think you will do?
May 6, 2013 11:27AM
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I'm banking on grow lights and potting soil. Grow your own food and trade any surplus.
May 6, 2013 7:55AM
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I've been investing in precious metals.  Like copper, lead, and brass to name a few.
May 6, 2013 10:44AM
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I always catch my self reading these BS articles and then when I do I always find out how it is always a motive to make the rich richer and everybody else poorer.just think about it.
May 6, 2013 8:22AM
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It's not a worry, what go's up will come down !!!
May 6, 2013 11:03AM
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"Wholesale cocoa prices are down 38% and 14% in the second quarter.." Then how do you explain sale prices for Ghirardelli's and Lindt dark chocolate bars, reg. $2.99, up $1.00 in the past year,  2/$3 to 2/$5?

 

One advice I got in investing in gold, if ever, was don't go through the informercial channel. If that company, for any reason, goes under. so do you if you put too many eggs in that basket.

 

Wheat going up would be good for diets. Quite a few people you talk to who have lost weight will say that did it in part from cutting carbs, particularly from the dumb carb aisles.

May 6, 2013 10:36AM
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this truly embodies everything that america stands for...

still waiting on the zombie apokolypse
May 9, 2013 12:09PM
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I'm just glad this life is temporary.
May 6, 2013 10:12AM
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The commodity  blurb for cacao says it all - if the French can live without chocolate, it certainly isn't essential. These are all luxuries, not necessities, even wheat.
May 6, 2013 9:39AM
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"Ken Roberts" has courses (and I think still does) back in the late 90's that I bought into.  I made some money with his system.  He teaches you basic trading techniques i.e. 1, 2, 3 Up's, downs, head and shoulder, triangles, flag patterns etc.  Problem is, you'll need a "broker".  I think they call them brokers because they're usually more broke than us at 35-45 bucks a trade to buy/sell a contract, it's steep.  You don't want to risk your rent money, but if you do your homework "paper trade" for practice and if you can afford it, you can make some money.  However, even as bad as real estate is right now, it's still a much better, safer and lot less risky than commodities especially when it comes to long term.  Just my two cents.
May 6, 2013 10:40AM
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not real sure how natural gas consumption goes up when people run their A/C ? I know You could switch the motor out to one but I have never seen one.

May 6, 2013 7:15AM
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Showing a picture of wheat, in an article about no so good commodities, knowing full well that the winter crop isn't half of what it should be. Yes, stay away from wheat and do not make a killing.
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