| From forbes.com: Open interest, a measure of market liquidity, has fallen in most key U.S. commodities as a plunge in prices over the last month encouraged some investors to get out of the market.
Data from crude oil, metals and grains exchanges on Wednesday showed between 2 and 17 percent fewer futures contracts that have not yet been exercised, expired, or fulfilled by delivery at the end of a trading day compared with a month ago.
A softer outlook for raw materials -- plus a stronger dollar from a halt in U.S. rate cuts -- has also led to more investors going short, or bearish, on commodities than those going long, or bullish, analysts said.
"It is a combination of shorts and liquidations," said Jim Ritterbusch, president of Ritterbusch & Associates, an oil trading advisory in Galena, Illinois...... Full Article: Source |