North European Oil Royalty Trust reported net income of $3.5 million, or $0.38 per unit, for its fourth fiscal quarter ending 10/31/2009. During the same quarter last year, the company earned $9.4 million, or $1.02 per unit.

The company paid a distribution of $0.38 per unit in the quarter. Management of the North European Oil Royalty Trust blamed the sharp year over year fall in gas prices for the lower income.

The North European Oil Royalty Trust is a trust set up to receive royalties from hydrocarbon producing areas in Germany. ExxonMobil Corporation (XOM) and Royal Dutch/Shell (RDS) are the operators of the producing wells in the area.

North European Oil Royalty Trust also receives revenues from the sales of sulphur from a natural gas desulfurization plant located in the area.

The North European Oil Royalty Trust distributes almost all its royalties to its unit holders, but since these royalties vary

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The International Energy Agency increased its forecast for 2010 global oil demand as the pace of economic recovery in Asia and the Middle East quickens, but has apparently cautioned that rising oil prices could jeopardize the green shoots of recovery. President Medvedev called for an end to Russia's 'humiliating' dependence on commodities in yesterday's state of the nation speech, whilst it is rebounding oil prices that are palliating Russia's current economic problems. Gazprom plans to increase its investment program by 5% next year, to $27.94 billion. The heads of the Russian state giant and Naftogaz are to meet to discuss the Ukrainian company's parlous financial status and issues related to the November supply of gas. Russia will apparently produce next-generation nuclear reactors and new types of nuclear fuel by 2014. Gazprom has confirmed plans ...

Baltimore — (TFN): How efficient are the markets? It is like asking how smart is the human race We all know the answer, but few of us are willing to suck in our pride and admit there are a few dim bulbs among us.

Judging by the sudden rise in fame of Levi Johnson or Balloon Boy’s antics, the human brain is far feebler than we give credit.

And so are the markets.

If you have taken a basic finance class anytime between 1965 and the present, you have likely studied Eugene Fama and his efficient market hypothesis.

Essentially, the University of Chicago professor created a cult-like following of investors and academicians that believe markets entirely reflect all known information and instantly react to new information.

For example:

When I told my ever-optimistic, ever-“hopeful” colleague, Laura Cadden, the news the majority of Obama’s infrastructure stimulus would finally be doled out sometime early next year

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I’m always interested in how Government ties in with the markets. It’s been a bit of a hobby of mine, along with WWII battles, over the past 2-3 years and there’s no bigger tie then Goldman and the Government then recently…and BOY is it bigger then we know! In my recent late night surfing I came across Greg Roy. Greg recently released a special report with the same title of this blog post, Goldman Sachs’ Next Slaughter of the Stock Market Lambs, and being the digger I am, I read the full report and cold called him. I asked if I could repost a part of the report for my Trader’s Blog members. After some convincing he said ok.

This guy knows what he is talking about… Here is an exclusive excerpt from his newly released report Goldman Sachs’ Next Slaughter of the Stock Market Lambs.

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Goldman Sachs

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We have downgraded the recommendation on AutoZone (AZO) from Outperform to Neutral. This reflects the company’s heavy reliance on private label brands and threats from its vendor consolidation and appreciation in gas prices, which act contrary to significant growth opportunities that exist in each of its businesses such as retail, commercial and ALLDATA. AutoZone is one of the nation’s leading specialty retailers of automotive replacement parts and accessories, operating in the Do-It-Yourself (DIY) retail, Do-It-for-Me (DIFM) commercial and other customer markets. DIY retail sales represented 84% of the company’s revenue in 2008, DIFM commercial sales represented 11% and the remaining 5% generated from other sales. AutoZone sells the ALLDATA brand automotive diagnostic and repair software, and offers ALLDATA repair subscription, ALLDATA online and on DVD, which offers comprehensive factory-correct repair information to DIY customers. AutoZone has a high degree of reliance (50%) on its private ...

If we’re right about where the price of gold is headed, the general public will someday clamor to buy all things gold. While gold stocks will be where the real leverage is, the rush will start with gold itself. As a gold editor, I have a very natural question: is there enough to go around?

According to the U.S. Census Bureau, there are 6.783 billion earthlings. Meanwhile, CPM Group, a highly respected industry organization, estimates there are 4.8 billion ounces of above-ground gold in the world. And this includes jewelry, electronics, and dental. So, even if everyone around the world volunteered to have their chain, cross, or tooth melted into a coin, we’re already short. Those towards the end of the line are out of luck.

However, it’s worse than that. Of all the physical metal ever mined…

2.1 billion ounces, or 43%, is found in jewelry, decorative, and religious items. Private stock – ...

The September edition of Donald Coxe’s Basic Points research report (subtitled “Dem Blues”) has just been published. His investment recommendations, as summarized in this document, are listed in the paragraphs below, but I do recommend you also read the full report at the bottom of the post. (Also note that Donald’s weekly webcasts can be accessed from the sidebar of the Investment Postcards site.)

1. Upgrade equity portfolios to reduce endogenous risk. Trade upward in quality, and, in balanced accounts, increase bond exposure. There is, at present, too much froth for comfort. After the grandest recession /recovery stock market rally on record, this is hardly a good time to commit new money into equities.

2. Emphasize Canadian stocks in North American portfolios. Canada has the best banks, and the best range of commodity-oriented stocks. And it has the best North American currency.

3. Continue to overweight commodity-oriented

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More regulatory trouble for commodity funds. a href="http://www.marketwatch.com/story/deutsche-bank-to-redeem-leveraged-oil-etn-shares-2009-09-01?siteid=yhoof"Duetsche Bank announced it will redeem shares /afor its double-long oil fund, which I refer to as DXO, which is the symbol. These funds have been under scrutiny from the CFTC for owning too many contracts. I'm worried the same fate will happen to UNG, or the natural gas fund, which I own shares. They already halted new shares in July, and I haven't had a good feeling with it since. On one hand, a lot of people want to own natural gas because it has gotten so cheap, and the prospects are great (like I've said many times). But because of the halt of new shares, demand has held UNG at a large premium (around 20%) over NAV, which is around 9.33 as of this morning. If UNG decides to go the same route, I ...

The Russian government plans to invest as much as $1.9 trillion in its energy sector by 2030 in an attempt to increase idling oil and gas output.  Mongolian President Tsakhiagiin Elbegdori has proposed that a Russia-Mongolia natural gas pipeline could be built as the two countries attempt to develop their 'strategic partnership'.  Russia looks set to open a pipeline supplying gas to South Ossetia, bypassing Georgia.  The Nord Stream pipeline group has asked banks to bid for $5.6 billion financing.  Gazprom expects exports to increase over the second half as gas prices have fallen.  A group of Russian investors plan to obstruct any attempt by Ukraine's Naftogaz to restructure a $500 million bond that matures next month.  Uranium supplies will not match demand after 2015 as Russia, the US, India and China develop ...

Tomas Valasek of the Center for European Reform has a sharp column in the Wall Street Journal today on the European loan to Ukraine to buy Russian gas.  If Gazprom chooses to cut the taps, Kiev would be likely to hoard supplies intended for Europe, which would put them in Brussels doghouse.  Such a move would be irresistible were it not for the fact that Russia really needs the income right now.  But we all know that there's plenty of bad blood.Independent of the fighting with Russia, Europe is once again asking Ukraine to clean up the corruption in the gas trade with reforms, a task which will not come easy politically - though reform stands a better chance now than in the past.  From the Wall Street Journal:

Kiev has of course failed to live up to

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