The last two years has been boom years for the energy and materials sector. Rising commodity prices have contributed to higher earnings. Global economic recovery, the emergence of China and low inventory drove prices up. The surge in oil prices and recent attempts by the Chinese government to cool the overheating Chinese economy has raised questions as to the sustainability of high commodity prices. We believe that commodity prices are likely to stay higher for longer. Investors could participate in the upside by investing in some of the stocks in the refining, base metals and petrochemical sectors.
Refining
The refining industry has finally emerged from a decade...
