Commodities slumped for a second straight session Wednesday amid two-year highs in the dollar and a slowdown in China — the world's fastest-growing economy — which intensified fears of global recession.
Falling stock prices also weakened raw materials markets, which have taken their direction lately from equities despite commodities often being touted as an uncorrelated asset class.
"A lot of investors are beginning to use equities markets as a guide to decide how the economy will be doing, and it's all bearish at the moment," said Clarence Chu, a trader at Hudson Capital Energy in Singapore.
Thursday, October 23, 2008
Ah the free markets a wonderful thing when allowed to run it's course without the interference of the nanny nattering nimrods....
Posted by traderrob at 11:01 AM