Eugene David
...The One-Minute Pundit

Thursday, May 05, 2011


After keeping interest rates near 0% for years, the amount of free debt flying around is exceptionally high. And rather than funelling the cash into job-creating businesses, traders have been using the money to buy commodities futures contracts while selling short the dollar.

This trade has done a marvelous job of driving up those prices well beyond what would make sense if prices were set solely on the basis of supply and demand for the commodity.


Not so hot today. Yoo-hoo! John STOS-sel! Where are your SPECULATOR friends now?

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