The Most Overlooked Predictor Of Commodity Prices
Nov 18th, 2008 | By Irwin Greenstein | Category: Financial NewsAs commodity prices continue to plunge, investors watch their favorite charts, tables and graphs in awe and dread.
Tight credit, shrinking consumer buying and the falling real estate prices have commodity investors wondering, when will it turn around?
To find an answer to that question, we look at another indicator to help determine the future of commodity prices. It’s not one most investors think of in trying to predict which way commodities will go.
But if you look at its current moves, you’ll probably draw the same conclusion that we did: commodities will be ugly for a while.
The indicator I’m referring to is Fitch Ratings – the company that provides so-called credit opinions on companies, markets.
Over the past week or so, Fitch Ratings…