05.05.2011 - Commodities spike is being fueled by speculation
The past year has seen an amazing increase in the price of commodities, and the previous week was no exception. However, recent action suggests that this latest leg up may be increasingly driven by speculation rather than macroeconomic trends. Shown below are charts of the CRB Raw Industrials Index as well as the Goldman Sachs Commodity Index. The difference between the CRB and GSCI is that the CRB contains prices of many non-tradable commodities such as tallow and other industrial commodities whereas the GSCI is comprised of exchange-traded futures contracts..............................................Full Article: Source
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