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Gold will be the second half's big winner: Trader

In the first half of 2014, coffee was the best-performing commodity, rising about 50 percent. So what will be the big winner in the second half?

Jeff Kilburg of KKM Financial is eyeing gold, saying that it reminds him of the coffee trade.

"Just a month ago, on June 3, we had that $1,240 low in gold. Coffee got thrown to the curb just like gold," he said on Tuesday's "Futures Now."

Read MoreThe doctor is in: Copper rises to 16-week high

So why will gold take off now, after rising about 8 percent in the first six months of the year?

"Now all of the sudden there's an inflation play potentially, there's geopolitical risk, and the third head of this monster which no one has talked about and hasn't been deserving of talking about for quite some time is the safe haven trade," Kilburg said. "It sounds like I'm crazy, it sounds like maybe I've got a little too much coffee in me here, as we have all-time highs in the S&P 500, but gold is going to go higher. Technically I like it as well."

Read More Payrolls to test gold's resilience after gains

Gold bars taken from the S.S. Central America ship which sank in 1857 are displayed at the Museum of American Financial History January 8, 2003 in New York City.
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Gold bars taken from the S.S. Central America ship which sank in 1857 are displayed at the Museum of American Financial History January 8, 2003 in New York City.

For his part, Anthony Grisanti of GRZ Energy prefers silver.

"I agree with Jeff right now," Grisanti said, but "I actually like silver a little bit more than gold."

Silver has more industrial uses than gold, and Grisanti prefers it for that reason—especially on the back of good news from China in the way of their PMI number, which points to growing manufacturing activity.


—By CNBC's Alex Rosenberg

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