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HOLLYWOOD, FLORIDA, February 20, 2009 – Join Bart Melek, Global Commodity Strategist, BMO Capital Markets, by conference call for an update on his outlook for the global commodities sector.

Speaking from BMO's Global Metals and Mining Conference in Hollywood, Fla., Mr. Melek will provide a brief commentary and then take questions on Monday February 23, 2009 at 11: 30 a.m. (EST).

WHAT:
BMO provides its outlook for the Global Commodities Sector

WHO:
Media conference call with Bart Melek, Global Commodity Strategist, BMO Capital Markets

WHEN:
Monday, February 23, 2009
11 a.m. (EST)

Conference Call Number:

Toronto Local: 416-641-6139
North-American Toll-Free: 866-299-6657
Global Toll-Free: 800-6578-9898

Mr. Melek will discuss:

• A Perfect Storm Brewing for Gold

Gold has had a seven-year bull run. BMO expects gold to be a strong performer for at least the next three years. The US$185/oz rally since mid-January to around US$990/oz suggests that the good times for gold will continue in 2009. The price of the metal surged despite a strengthened U.S. dollar and ebbing inflation. There appears to be traditional flight-to-quality buying as investors seek the safety of physical bullion.
However, there is a risk that prices may correct somewhat in the near-term if there is a return to relative stability in the financial market, particularly the financial sector.

The current and longer-term optimism regarding precious metals is primarily driven by the view that the U.S. dollar will weaken in the future and that inflation pressures will grow as central banks and governments pursue very aggressive stimulative policies, including zero interest rates, quantitative easing and massive project spending. Massive future U.S. and other government bond issues and developing world high karat jewellery buying are also supportive of gold.

Silver Regaining Its Luster
Similar to gold, silver has had a very good seven years. BMO expects gold to be a strong performer for at least the next three years, with silver following suit and perhaps even outperforming gold. Somewhat better-than-expected supply/demand conditions and investor interest in the metal as a safe haven asset are the key reasons driving this view.

• Credit led commodity sell-off has left metal prices too low, long-term prospects remain upbeat

The global recession, evolving credit crisis, growing inventories and general fear-based selling has driven down the price of both metals and bulk commodities considerably. However, with the price of many metals far below their cost of production and financing difficult to obtain, producers are cutting current and future production. The supply outlook is therefore relatively restrained.

Aggressive monetary policy actions by the Fed, the PBoC and others should eventually help credit creation activity. The credit freeze was a very significant factor behind the sharpest and deepest commodity price correction seen in recent months.

Strong government stimulative efforts around the world, all of which seem to be directed towards infrastructure projects and personal spending, are likely to start turning demand around in the latter part of 2009. BMO expects that this will bolster resource consumption in the near-term. Recent declines in manufactured goods , iron ore and metallurgical coal inventories in China and other Asian nations is evidence that things may be looking up for commodity prices.

In the long run, the development of emerging economies and structural rigidities in the mining world are expected to keep supply lines tight. As such, metal markets continue to have a robust long-term outlook.

Full copies of Mr. Melek's latest reports on his “Global Commodity Strategy”, “Gold Outlook” and “Silver Outlook” are available upon request.

One-on-one interviews with Mr. Melek will also be available.

Bart Melek has closely analyzed trends in global commodity and financial markets, as well as in the global and Canadian economies, for more than a decade. He contributes to BMO Capital Markets' strategic view by providing commentary on commodity markets and how they relate to the sectoral and economic outlook.

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