Markets Fall as Commodities Continue Collapsing
Commodities Continue CollapsingMost of us aren’t necessarily commodities traders.
Gold and oil are both obviously the standouts, since people are used to seeing them trade at a certain level. But other commodities like corn and sugar, which don't always have a fixed price in people’s minds are doing just as poorly.
Precious metals in general are all depressed. Copper and platinum are being hit just as hard as gold and silver are. In fact, the losses in precious metals have driven down share prices for mining companies across the board by more than 5%.
When it comes to agriculture, prices are down as well. Right now, corn is being harvested in a lot of places, and it’s make or break time for farmers. They’re finding that the price point for their harvest is too low to sell at, and storing the corn for later sales. Still, the agriculture industry only has so much room for storage, and with corn prices near year-long lows, there’s no indication when they’ll be able to sell higher.
Monster (MNST) Misses Earnings by 12 CentsMonster Beverage (MNST) missed its guidance by a whopping 12 cents per share. The soft drink company fell 6% in trading today, shedding 9.13 points to close at $144.87 per share. The problem was weak sales in Q2, weak enough that the company didn’t even come close to guidance. That throws the competence of Monster’s executive leadership into question, and the Board might not have patience for another quarter where the company misses the mark by this much.
Monster wasn’t the only soft drink company with problems today. Keurig Green Mountain (GMCR) continued an epic collapse, dropping nearly 30% in trading today. The coffee company is receiving pushback on new models, and despite a deal with Coca-Cola (COKE) they have a heap of problems in the mid-term. Keurig fell 22.31 points today, and closed at $52.67 per share.
Published on Aug 6, 2015By Aaron Phillips