|
How High Can Commodities Climb? |
|
Tuesday, 02 October 2007 |
|
By Andrew Gordon
Since the Fed dropped its discount rate last month, the S&P 500 has risen more than five percent. But commodities have more than doubled that rate.
And they’ve gone up across the board, including oil and gas, which make up 39 percent of the CRB Index’s weighting. Grain, industrial, and precious metals have also climbed.
Now it looks like commodities are due for a breather. The RSI shows that they’re clearly overbought. But they could go a little further before hitting their channel resistance at around 340. If the index gets past that, you can expect another strong run up the charts.
A Bull Market that Has Beaten the BearVPU Daily Times are certainly tough. David Dreman, a leading money manager who oversees about $15 billion, said, “Between inflation and the liquidity crisis, this is one of the toughest markets...
+ Full Story | What to Do When Up is DownWhat do you do when up is down and down is up in the markets? That’s what KG in California wants to know. He wrote to IDE this week, asking: “How do you invest in a market like this? I...
+ Full Story |
If you’ve bet on the price of commodities going up, then good for you. But it hasn’t been so good for the price of long-term Treasurys, which are sensitive to inflation prospects.
Source : Investors Daily Edge
-
We endeavor to decipher analysis of this Teaser/News Letter to distinguish
the thoughts of Authors/Editors.
-
Please post your Review/Comments, your rating helps other users gauge
the value of an article ...
-
-
|
Stock Ideas 
