Hugh Hendry, the eloquent and outspoken CIO, Eclectica Asset Management, in an appearance on CNBC’s PowerLunch (Dec. 10) shares his thoughts on agriculture commodities stocks such as Potash, and Syngenta.
Among other things, Hendry makes a forthright confession that he was wrong earlier this year to make the call to be long commodities stocks. He continues on to say that when he realized he was wrong, he promptly sold them too. Hendry runs a long-only Agriculture fund, as well as his primary hedge fund, and has been controversial in some of his choices to oppose his funds’ mandates at times in favour of cash or government securities.
His main quid pro quo is his caution that although commodity stocks could revisit highs, we could be waiting as many as 10 years for it. Its a must watch.
In a 7-minute segment earlier the same day, Hendry discussed the idea that as the financial crisis deepens, civil liberties are curtailed by governments eager to put an end to falls in share prices and economies. This is an insightful discussion, a must-watch.
“The government has gone to war, it is an economic war. And in a war the government takes a larger and larger role in the society. That’s fine, you have to accept that,” Hendry said. “What is concerning is the erosion of civil liberties.”
The ban on short-selling financial securities in the UK is one example of erosion of civil liberties, another is a statement made in parliament last week which opens the way to silencing the press during financial crises.
The Treasury Select Committee said that it will look at the role of the media in financial stability and whether financial journalists “should operate under any form of reporting restrictions during banking crises”.
“We’re only a year into this and suddenly, already, our liberties are being brought back, brought in,” Hendry said.
This entry was posted
on Tuesday, December 16th, 2008 at 9:02 am and is filed under Commodities, Markets.
You can follow any responses to this entry through the RSS 2.0 feed.
You can skip to the end and leave a response. Pinging is currently not allowed.
Advertisement
Wise Words
To be satisfied with a little, is the greatest wisdom; and he that increaseth his riches, increaseth his cares; but a contented mind is a hidden treasure, and trouble findeth it not. — Akhenaton
The Power Curve: Smart Investing Using Dividends, Options, and the Magic of C... by Scott G. Kyle Amazon Price: $16.47
Customer Review: Kyle's "The Power Curve" is the first book to truly delve into options, dividends and compounding while adding a touch of humor. Kyle clearly has the experience and knowlege to put forth such a fantastic book.
The Dick Davis Dividend: Straight Talk on Making Money from 40 Years on Wall ... by Dick Davis Amazon Price: $21.86
Customer Review: Davis is definitely the best stock operator I have even witnessed in operation. Dick Davis founded the "Dick Davis Digest" in 1982, one of the nation's largest investment newsletter. "The Dick Davis Dividend" has 26 favorable endorsements from emine...
All About DRIPs and DSPs by George Fisher Amazon Price: $18.00
Customer Review: This is a very good book about buying stocks directly from the company. In this market why pay broker fees. A bunch of drunken monkeys throwing darts at the Wall Street Journal can do just as well at picking good stock as a broker and there's no fees...
All About Dividend Investing by Don Schreiber, Gary E. Stroik Amazon Price: $9.99
Customer Review: Great reading for the average investor who directs his/her's own investments and wants a solid foundation about dividends and how they work for you over time.
The Dividend Growth Investment Strategy: How to Keep Your Retirement Income D... by Klugman Roxann Amazon Price: $16.46
Customer Review: I'd been looking forward to reading this book for some time based on reading a few of the reviews that had been circulating on 'The Dividend Growth Investment Strategy' by Roxann Klugman. But after reading it I was very disappointed for a couple of r...
Stay on top of the latest headlines from the Wall Street Journal Online.
WSJ What's News Late Edition, July 2, 2009by The Wall Street Journal
Stocks tumble in light trading as an unexpectedly weak jobs report dampened investors moods; Exelon boosts its offer for nuclear power provider NRG Energy by 12 percent; and the man who introduced the world to "Two Bu...
Jeffrey Saut Daily Audio Comment Raymond James
Listen to the recording with one of the media players below:
Jeff Saut’s Daily Audio Comment is recorded every weekday, except Wednesday, at 9 a.m. ET. It is made available to the public on this Web page at approximately 1 p.m. ET.
Print This Story
