Steen Jakobsen: EPIC Commodities Boom Is Starting

By Peak Prosperity / December 20, 2011 / marketsanity.com / Article Link

Demand for commodities, tangible assets and the companies that mine, manufacture and transport them is about to blow sky-high predicts, Steen Jakobsen, Chief Economist and CIO at Saxo Bank. He bases this prediction on several factors. First, the digital world does not exist independently from the physical world. And the massive success of virtual platforms over the past several decades has now reached a point where the infrastructure to source, build and deliver the products they sell is becoming a serious constraint. Second, governments are becoming more concerned about social equity and stability. Steen predicts a significant increase in federal spending on 'green' infrastructure to drive jobs and upgrade capacity for commerce. Third, Steen believes the market is not pricing in the prior two factors. So he expects a price-boom to occur once investors wake up to the fact that commodities haven't been this undervalued relative to other financial assets for at least 50 years.

Adam Taggart is the President and Co-Founder of Peak Prosperity. He wears many hats, but his basic job is to handle the business side of things so that his fellow co-founder, Chris Martenson, is free to think and write. Adam is an experienced Silicon Valley internet executive and Stanford MBA. Prior to partnering with Chris (Adam was General Manager of our earlier site, ChrisMartenson.com), he was a Vice President at Yahoo!, a company he served for nine years. Before that, he did the 'startup thing' (mySimon.com, sold to CNET in 2001). As a fresh-faced graduate from Brown University in the early 1990s, Adam got a first-hand look at all that was broken with Wall Street as an investment banking analyst for Merrill Lynch. Most importantly, he's a devoted husband and dad.

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