March 30, 2006

Sugar, Not Oil or Stocks, May Be Best Investment

Sugar, Not Oil or Stocks, May Be Best Investment
Sugar, the best-performing commodity the past 12 months, may beat bonds, stocks and oil for a second straight year.
``Sugar could quadruple from here and it would still be below its all-time high,'' said former George Soros partner James Rogers, 63, who founded Lausanne, Switzerland-based Diapason Commodities Management SA, which oversees $3.5 billion. ``The rally hasn't even started yet. And the fundamentals are changing dramatically in a positive way.''
Prices are soaring as record gasoline costs prompt Brazil, the world's biggest sugar producer, to devote more than half of its crop to ethanol production to meet a goal of eliminating gas-fueled cars in four years. A drought in Thailand, the second-biggest exporter, and a 50 percent rise in Chinese sugar demand the past decade are compounding the supply squeeze.
``Sugar will definitely outperform bonds and equities this year, primarily because of supply constraints,'' said Andreas Meyer, 39, who helps manage $130 million at Vienna-based Merit Alternative Investments GmbH and set up the Commodities Opportunities Fund two months ago.

WELL THIS ARTICLE MAY ONLY FOCUS ON SUGAR .... BUT DAYS OF COMMODITIES ARE HERE AND GEAR UP TO SEE SOME MIND BLOWING BULL RUNS IN COMMODITIES. E.G GOLD, CORN, SILVER, CRUDE AND SO ON.....

1 comment:

Blogger's Park said...

well an interesting article on hw world economy gonaa chage with the rise of commodities.....