Resources ride again

I admit to having a bias to commodities, partly because I grew up watching the sun set over vast dumps of mine waste (you had to be there). But also because I think it's so cool that dirt from the ground can be turned into Hummers, Coca Cola cans and nylons.

Japanese officials said a couple of days ago that the country would spend US$80 billion supporting its economy. This is good for commodity demand, from oil to metals. A tax break for home appliances is also planned.

My favourite resources companies are BHPBilliton, AngloAmerican and Impala Platinum. BHP is the most diversified, with exposure to coal, oil and aluminium. Anglo is focused on base and industrial metals, although it also has exposure to precious metals and diamonds.

Implats is the world's second-largest platinum producer; last week it broke significant resistance, and is now testing the breakout, trading red the past two sessions.

Gavin du Venage holds a long position on Impala Platinum