The World by its resources

Commodities at historic highs

Commodity markets have reach to their historic highs. but will commodity prices would sustain in such low growth environment. Societe general depicts tht commodity prices might show some correction with such level would be difficult to maintain

Key Levels for all markets

Important levels for equity and commodity markets

source Macroman.wordpress.com

US Dollar - Will the trend sustain

Dollar bounced back from its low and was trading around its 50 DMA. A close above 50 DMA will be a very bullish setup for US dollar. With QE 2 in its last leg and no QE 3 in offing, US dollar might bounce back harder then expected souring the commodity rally. All commodities are below their 50 dma which is quiet bearish for commoditites

Commodity Rally and Fed

Correlation between Fed funding and commodity rally

Gold : Cause and Effects

this gold rally has left many perplexed. i believe gold is one of the most difficult products to trade as there are far too many variables that effect the gold markets. USFUNDS have come up with an interesting interactive chart which lists out few variables

Surge in Commodity Prices : BoJ Review

BoJ reviews the current surge in commodity prices and the usual suspects are the global central banks, the financialization of commodity markets and supply/demand mechanics.

"The entry of new financial investors has paved the way for the “financialization of commodities”. Consequently, global commodity markets have become more sensitive to portfolio rebalancing by financial investors, which has made commodity markets more correlated with other asset markets, including major equity markets. Furthermore, globally accommodative monetary conditions have played an important role in the surge in commodity prices, both by stimulating physical demand for commodities and driving more investment flows into financialized commodity markets.”"


Read the complete report


rev11e02 -

Baltic Dry Index

Generally with commodity prices heading north, we see a lot of activity in bulk cargo shipping.. surprisingly Baltic dry index seems cold and not abuzz with activity. could it be a real lack of cargo moevement or another demand supply mismatch which might push commodities higher

Commodity Inflation

Are we heading for another Commodity spiral. Bad news for the developing and under developed nations. They pay price for the inane economic policies of developed countries

Commodity Cycles at a crucial Level

Gold Price in bull market

With QE 2 around and major resistance level of 1270 broken on the upside..i believe Gold has a way leg up.

Correlation among major indices