
82
u
STOCKS AND BONDS
S&P’s have shown a tendency to see mid-month selloffs lasting into early
October (page 140). In 2008, equity prices made a vicious decline. Even during
the big rebound in 2009, S&P’s posted a mid-September high and declined until
October 2. 30-year Treasury bonds tend to rise when stock prices tend to decline
(page 142).
u
ENERGY
Crude oil tops out in September with the peak driving and hurricane seasons
behind us. Refineries begin to focus on the production of heating oil and less
on gasoline, thereby reducing the amount of crude oil inventories. Selling the
February futures contract on or before September 13 and holding until on or
about December 9 has produced 18 winning trades in the last 27 years (page
80). Natural gas is in the midst of its best three-month span from August
through October (page 68).
u
METALS
Liquidate the long gold position from August (page 78) at month end. Silver
has a tendency to follow gold higher during the month (page 155). Copper
prices tend to stabilize in September but still lean toward a seasonal down turn
until mid-December (Page 149).
u
GRAINS
Soybeans are in a weak period under normal weather markets until the harvest
lows come by late October (page 92). Wheat continues to remain in an
uptrend, but prices have a tendency to stall or correct mid-month (page 164).
Corn continues a seasonal decline in normal weather conditions apart from
any earl ...