Gold

The annual inflation rate in the United States has climbed up to 7.5% in January, the highest rate since 1982. At the same time, the S&P500 index has fallen approx. 10% from its all-time high. When we wrote our previous article on gold in December 2021, the spot price was around USD 1772. Since then, the spot price has increased, and is now sitting at USD 1910, up more than 7%. Gold may continue to function as a relatively safe hedge against war, uncertainty, and continued inflation.

​

Vår Energi

Furthermore,  oil and gas producer “Vår Energi” (ticker: VAR), one of Norway's largest, was recently listed on the Oslo Stock Exchange with a market cap of USD 8 billion. The company announced earlier this year their target of paying at least USD 800m in dividends by 2022, assuming stable commodity prices.

Both the global demand and supply situation remain tight, while OPEC mentioned in its latest oil market report from February that they expect the demand in countries such as China and India, as well as regions such as Europe and the Middle East will continue to grow in 2022. In the current market condition with relatively high commodity prices, Vår Energi are set to have a profitable year.

 

Rana Gruber

One of Norway’s largest mining and iron ore producers, Rana Gruber (ticker: RANA), recently announced their transfer from the Euronext Growth Exchange to the Oslo Stock Exchange. With the listing on the Oslo Stock Exchange taking place at the end of March, it is expected that several funds will have to take a position in the company in order to reflect the inclusion, which may lead to increased demand for company's shares. The spot price for iron ore has seen a reduction from its historically high price in 2021 of around USD 200 per ton, to around USD 135 per ton. 

​

​

*Rosenlund & Co (and/or the authors of this article) have exposure towards some or all of the securities mentioned in this article.

​