By Tom Dyson in Penny Trends:
Last week, I said coal had the biggest uptrend in the world, followed by steel and other industrial metals.
Coal is still at the top of our Big Trend Leaderboard. Coal has been in a relentless uptrend for the past 10 months and shows no signs of slowing. Behind coal we find steel, copper, aluminum, and platinum. Notice sugar and agribusiness have entered the top-five spots of our leaderboard.
What do all these exchange-traded funds (ETFs) have in common? They're all responding to a bull market in big industry.
Coal generates electricity. Electricity is the ultimate raw material of industrial activity. Copper, steel, aluminum, and platinum are big industry metals. They rise when the world's factories crank out autos, buildings, machines, and infrastructure.
Sugar is a major raw material of the food industry. Agribusiness companies like ADM, Monsanto, and Potash are big industrial concerns, too. These companies operate huge factory complexes to process chemicals and food.
"What's good for GM is good for America," they used to say. GM isn't a public company anymore. But check out the stock price of Ford Motor, the largest American car company. Ford's stock price is up 1,100% since November 2008... making new three-year highs... and it's still soaring...
Ford is a gargantuan industrial company with an enterprise value nearing $150 billion. Small-cap auto-parts suppliers are soaring as well...
American Axle and Manufacturing is a $500 million Detroit small cap. Its stock is up 3,350% since March 2009. China Automative Systems is a Chinese auto-parts manufacturer with a $700 million market cap. Its stock is up 1,172% since November 2008. Modine Manufacturing is a $550 million car-part maker from Wisconsin. Its stock is up 1,527% since February 2009. Sorl Auto Parts is a Chinese auto-part maker with a market cap of $200 million. Its stock is up 900% since March 2009.
All four of these stocks made new highs last week.
There's only one conclusion from this data. The world's smokestacks are pumping, machines are whirring, sparks are flying, and global industry is firing on all cylinders.
Crux Note: Penny Trends editor Tom Dyson just recommended his favorite way to play the bull trend in global industry, a perfectly positioned penny stock that's just broken out on massive volume. You can get the full details of this trade - including Tom's recommendations on exactly when to buy and sell - with a subscription to the Penny Trends service. Click
here to learn more.
More on stocks:
Five dividend stocks trading below fair value
"Extreme" investment opportunity in world-class stocks
A simple stock strategy that will put you far above the average investor
