Loading ...Commodities
We have ben seeing a bit of Inflation in the Govt numbers for just over a year
The DBC is one of the most actively traded Commodity ETFs ( Rambus Follows this one)
That big run up in Gold starting in Jan 2016 that got many of us all Hot and Lathered
was NOT a Monetary thingy apparently.. It was Commodity Thingy.
Now what ? DBC Hourly has some Perfect Chartology.
Now here is the problem for Inflationists.
Rambus’ 75 year CRB Chart….(we broke huge support and last years rally was just a backtest so far)
I have never seen this chart anywhere else . members have seen it even before that breakdown.
Could we go back to 1970 Commodity Prices and by Extension 1970 Gold Prices ?
I know I know…impossible
Abandoned Baby candlestick formation on DBC chart, which could be bullish. Usually is. We shall see. 🙂 Ready to buy in or bail out in a blink. 🙂
That is on DBC Daily chart.
Good eye…could bounce off that line
Nice post here Fully.
I don´t know about other commodities but,
1: Is gold (and silver) just commodities? I don´t think so. I think gold (and silver) are money.
2: Since I know very well (find Koos Jansen works) the Chinese and India big demand and the COMEX and LBMA inventories are not empty but more and more dryed up, and as Koos Jansen demonstrated, the Chinese buy more gold as prices (in Yuan) more drop.
So maybe in $ prices can drop more, but the physical gold market is going to broke some day if gold reaches 800$ or 500$. If that happens, I´d like to see other currencies in front of dollar. Maybe chinese yuan 9/1 per dollar? 0.70 eur per dollar?
I dunno Fully, I’d like to see that 75yr CRB chart in ‘inflation adjusted terms’ then I think the ‘zone’s would have to be significantly recalibrated. If inflation were zero over 75 yrs, they would have more meaning, just my $0.02. BTW, only now we are at the same inflation adjusted highs in the SPX as we were in 2000. Not very comforting.