Sean Brodrick, Editor of Wealth Megatrends and contributing analyst to Weiss Ratings Daily, joins us to review his thoughts on the recent bout of market weakness seen across the board with US general equities, the energy sector, the precious metals, and most of the commodities sector. We discuss the potential lagging effect of the Fed’s higher for longer policy on interest rates, and how that may be a factor some market participants are becoming more concerned about. Additionally, we note that the Chinese economy has been weaker than expected and that has been a drag on overall commodities uptake in the world’s second largest economy.
Next we shift the conversation to the energy sector and get Sean’s take on the key macro drivers in the oil price movements and projections moving into the medium-term. He also reviews the types of oil stocks he would invest in for this environment, outlining some existing positions he has in Marathon Oil (MRO), Devon Energy (DVN), Diamondback Energy (FANG), and Baker Huges (BKR); reflecting on the strength of the oil services sector.
Lastly, we wrap up discussing some of the key macro trends in the nuclear energy sector and how that relates to the uranium mining stocks. Sean discusses the strong price action in Cameco (CCO) (CCJ) as a sector major producer and widely followed company; but also highlights his position in Ur-Energy (URE) (URG) as one that has been resilient lately, based on future expectations for growth.
.
Click here to learn more about the Wealth Megatrends letter.