“Prices in financial markets are determined by psychology, by what people think stocks, bonds and commodities are worth rather than what they actually are worth. Recent sentiment readings for some key commodities, such as copper, gold, sugar, wheat, cattle, etc., were at extreme levels of negativity. From a contrarian aspect of course, that’s very bullish. We see a similar pattern in many, but not all commodities in respect to commitment of traders, where knowledgeable commercials are comfortably long. On the other hand, speculators, who as a group usually guess incorrectly at turning points, are taking the other side of the trade with bearish bets.”
http://www.marketwatch.com/story/are-commodity-prices-about-to-explode-2013-06-18
Related posts:
Freedom or the Slaughterhouse? The American Police State from A to Z
The Future of the Web Looks a Lot Like Bitcoin
Bill Bonner: Jailhouse humour
John Hussman: The Bubble Right In Front Of Our Faces
Ron Paul: Nixon’s Vindication
Trick or Treat: Is Trump a Blessing or a Curse to the Deep State?
Economic Fascism and the Power Elite
Travel Surveillance, Traveler Intrusion [2013]
Taxation and Trading on Foreign Markets
All Government Policies Succeed in the Long Run
The “Social Contract” Is a Fraud; Anyone Enforcing It Is A Criminal
Small minds, big ideas: The implications of the IRS targeting anti-tax groups
What is an American? Forget the state and just be a child of the nation
John Hussman: A Warning from Graham and Dodd
Realism versus Nonintervention