For those of you who haven’t noticed;
it appears that the price of Molybdenum (moly) is on the move
and the funny thing is, it is moving in the opposite direction
of what most of the analysts and newsletter writers have predicted.
HOW CAN THAT BE? How can they be wrong about a base metal
that has skyrocketed in price by more than 12 X in the last
3 years? Funny thing about this is the fact that it is not
really their fault that they have been on the wrong side of
the price movement with their predictions.
Moly is one of the most unknown and mis-understood
base metals in the world today. This metal is unquestionably
the metal of the 21st century. Not only is it the metal of
the 21st century but very few individuals, investors, newsletter
writers and even companies that produce moly have a clue to
the importance that moly will play in shaping the rest of
our lives and the lives of generations to come.
The best part about this is the fact that we,
as consumers, are going to be the big winners. Not only will
the consumer be a huge winner but countries such as the US
and China can now look at each other as partners in the development
of crucial technology and power plants that will easily solve
the world’s energy problems and needs rather than fierce
competitors for the worlds dwindling supplies of natural resources.
Think about it for a second! What better way
to cool the world’s frayed nerves than to come up with
a solution to the world’s energy crisis! Think of the
possibility of buying gasoline at $1.50-$2.00/gallon again.
Believe it or not there is a solution to the world’s
energy crisis and the technology has been around for decades!
In fact this technology is now in the process of becoming
a reality.
China and South Africa are working together
to develop and build power plants that will liquify coal in
a process that makes their vast reserves of coal economical
and the finished product is burned pollution free. Think of
what this means! Both the US and China can tell the oil producing
nations, of the world, to go take a “high flying leap
off their tallest oil rig.” For the first time in years
I have positive feelings about the future and I can see a
way for the US to solve many of its pressing problems. Think
of automobiles and power plants burning fuel that is virtually
pollution free for a lot less than we pay for the same energy
today! This technology will not only solve our energy crisis
but it will also do wonders in solving the world’s air
pollution crisis and the threat of global warming.
I hope you are getting as excited as I am because
from my standpoint I have searched for a very long time to
find anything to be positive about in the world today. Not
only does this give me something to cheer about but the timing
cannot be better.
Now you have got to be asking yourself “how
does moly fit in to this?” The answer to that is very
simple but yet it has been kept a “BIG SECRET!”
Very few people know or understand the fact that MOLY is the
catalyst to clean the impurities out of the vast quantities
of coal and stranded natural gas that exists in the world
today. With moly as the catalyst there is very little doubt
about the fact that the demand for moly can do anything but
increase significantly over the years to come.
Very few newsletter writers, analysts or even
producing moly companies understand the fact that the world
of the 21st century cannot exist, in the manner that it will,
without a much larger supply of moly than is available in
the market today..
Without this knowledge there is no way that
many of these very intelligent people could come to the conclusion
that the price of moly could do anything but fall in price.
That would be a logical and practical opinion to form.
For months newsletter writers and analysts
have said that moly prices would fall below $15/lb. after
peaking above $39/lb. For months end users of moly have waited
for the pullback in price. Most of these end users felt that
moly had no-where to go in price but down. As a result of
this thinking these end users kept their inventories of moly
at very low levels. They waited and hoped that the price of
moly would fall. Moly did have a pullback; all the way to
the meager level of $29/lb.
The funny thing about moly is the fact that
moly, as a commodity, is not traded as a commodity on any
of the publicly traded commodity exchanges. The important
point to this is the fact that moly then has to trade on the
basis of pure supply and demand. Pure supply and demand eliminates
all the games and manipulation that is created by speculators,
hedge funds and those who attempt to manipulate markets to
their advantage.
Moly prices are now rising because the end users
can wait no longer for the price to fall. The end users must
buy to replenish inventories that do not exist and this, coupled
with thin supplies, is the real reason why the price of moly
is now rising. It has nothing to do with roasters or any other
garbage that certain people and companies want you to believe.
These naysayers have their own best interest at heart and
they may be the ones who truly know what is going on behind
the scene and doing everything they can to keep moly a big
secret while they take full advantage to position themselves
for the future.
Ken Reser just posted a magnificent article
called “THE BIG SECRET!” I love this guy as I
have learned so much from him in the short time that I have
had the privilege of knowing and working with him. Ken is
one of these guys who spends an incredible amount of time
in the pursuit of knowledge and the truth. Ken is the first
individual; I know of, to post an article revealing the importance
that moly plays in the development of this new technology
that literally is the “SAVIOR OF THE WORLD!”
Now that the truth is coming out; all these
people, who have felt that moly prices would pull back, now
have a perfectly good reason to alter their opinions! I believe
we will read lots of articles, in the near future, from analysts
and newsletter writers who have “flip-flopped”
with their opinion on the future direction in the price of
moly. Even Jim Cramer on “romper room” or excuse
me I mean CNBC was talking about the positive future of the
base metals and moly as one base metal in particular. In other
words the rest of the investing world is beginning to stand
up and take notice.
LOOK OUT WORLD BECAUSE HERE COMES MOLY AND THE
MOLY STOCKS! I feel that moly, as a sector will outperform
and give returns better than the oil and uranium sectors.
After all why mess with uranium and the consequences of the
liabilities and cleaning the messes it leaves behind when
you can burn pollution-free coal and stranded natural gas
FOR A LOT LESS THAN IT COSTS TODAY TO FILL OUR CARS AND HEAT
OUR HOMES.
With the vast quantities of coal and stranded
natural gas that exists in the world today the US and the
rest of the world can become completely independent in the
development and supplies OF THEIR OWN NATURAL RESOURCES FOR
CENTURIES TO COME. Wouldn’t this be an absolutely wonderful
feeling and position to be in for the rest of our lives and
the lives of generations to come? Wouldn’t it be great
to leave our children and grandchildren something to be proud
of? Isn’t it about time for the people of the world
to stand up and demand that attention and vast amounts of
capital be spent on the development of this absolutely necessary
and timely power and technology!
For those of you who believe that a recession
or depression is eminent, after the hyperinflation, and the
resulting slowdown will change the demand for moly; I ask
you to think about this. What will the government do when
the economy comes to a standstill?
I believe that our government will do exactly
what they did in the depression of the 30’s; except
this time the money will be spent to completely realign our
energy industry. I believe they will create vast quantities
of jobs that will put the people back to work. I also believe
these jobs will be of the same nature that existed in the
30’s when The Hoover Dam was built. I believe power
plants across the country will be built and these power plants
will run on coal and stranded natural gas using vast quantities
of moly as a catalyst to clean the impurities.
In other words I believe a slowdown in the
US could create a greater demand for moly as a result of the
money being spent in a manner that puts people back to work
and at the same time solves our great countries energy and
pollution needs with all the problems that go with it! This
would take negative, short term, economic times and transfer
that pain into long term growth and gain for future generations
to come.
Yeah I’m pumped and for the first time
in a very long time I’m very optimistic that we can
now turn the corner and bring this country back to the status
it once held. I believe this will be a very long and slow
process but at least it is a start and I have absolutely no
problem sharing that seat with developing countries like China.
THERE IS LIGHT AT THE END OF THE TUNNEL! You know; I’m
beginning to feel good; I only hope our elected officials
get the point real quick.
For those of you who are not on my free e-mail
list click on the e-mail link below. If you would like a phone
call include your phone number and I hope to be able to reach
you in the future. For those who would like specific ideas
feel free to call me at the number below.
402-483-4484
mhoy@neb.rr.com
Mike
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