BHP Billiton - A committed and strong work force

If you belong to those investors who are interested in commodities, BHP Billiton has given all the hints how you should invest over the next year. You shouldn't ignore these tendencies set by large companies such as BHP Billiton, as they are subtly telling you what to avoid, what to buy and when. When raw material consumers start rebuilding their stock piles, the commodity prices start to climb. However, these short-termed fluctuations in commodity prices shouldn't get you carried away. There are many commodity producers, like BHP Billiton, who have idled wells or mines and any occurring price increase will only be temporary, as it will result in bringing those idled capacities back onto the market. The result of that will be depression of prices, which will last for a while. If you carefully observe behaviour of the big players, such as BHP Billiton, you, as an investor will be able more easily to figure out whether or not and which commodity stocks to buy. You should look for those commodities of which the production hasn't increased because of the recent increase in prices. If you pick the stocks in these sectors, you are on for a nice short-term gain, because it will take a while to get the mines back to production, there will be a lag in new supplies, which will give the producers such as BHP Billiton a great share of the recent increase in prices. Also, you should look for these commodities where the consuming companies have increased their production and end product prices, as it will often be enough to trigger additional demand in supplies and growth of commodity prices.