Welcome to Global Commodities Watch
In 1989 the US economy was still recovering from one of the worst economic meltdown’s in history, Black Monday, October 19, 1987. The Dow Jones index, for reasons still being debated, fell 508 points, almost a quarter of its total. (The current equivalent, for comparison’s sake, would be a 3,200-point loss on one day.) The drop turned out to be a “black swan event,” a weirdly poetic economist’s term meaning, in essence, a fluke. So in 1989 a young and energetic (as well as hungry) college graduate, Kevin Kerr walked onto the floor of the New York Commodities Exchange and never looked back.
As one of the youngest members of the New York Dollar Index (FINEX) and New York Cotton Exchange (NYCE). Mr. Kerr began to learn how to trade commodities by standing next to and trading with legends like Paul Tudor Jones. Jones and many other top traders had a great influence on Mr. Kerr’s trading style as well as the discipline and risk management skills he employs today. Mr. Kerr brings those skills, trading strategies and lessons to Global Commodities Watch and shares them with his readers.
The negative events of 1987 were devastating but they also led to 20 years of outstanding economic growth and a Dow that went from 2,200 to over 14,000 in 2007. Commodities prices also surged as global demand took hold. Mr. Kerr believes that while growth will be more measured this time around, there will be solid recovery over the next decade, especially in hard assets like commodities. For those that believe in long-term global growth as well as short term trading opportunities on the long as well as the short side, then Global Commodities Watch is for you. Welcome!