Quote:
Originally Posted by Unregistered
i dun doubt there are people who did well in commodities, but it really depends on the product and company.
i came from base metals previously and the industry is like sh|t now. look at how much copper has fallen from its peak since pre financial crisis. look at china's slow down and china is the biggest buyer of commodities. look at how deutsche bank has laid off its whole commodities unit. look at how JP morgan wants to sell its oil unit to mecuria.
just offering a different view. go into the industry with ur eyes open.
|
I think it is **** if one only gained his skills in the paper trading side of commodities. The physical side may not pay as crazily as the paper but it is alot more stable and the business is there for thr long run. Paper trading desks can just close as easily as they are setup. You pointed out correctly how banks are closing their desks now. Thry opened with much fanfare and a boom in 2007 but now all forced to sell or close their desks to focus on only core bankinh businesses.
Also metals will always be the first loser in a global economy slow down even for physical commodities as vols can shrink significantly. Pple can build less stuff and world economies still get by. Not for agri and oil