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Strategies & Market Trends : Commodities - The Coming Bull Market

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To: Box-By-The-Riviera™ who wrote (1164)3/21/2002 12:55:10 PM
From: craig crawford  Read Replies (1) of 1643
 
>> add that to what you said, you still have the question of pricing power.. if the recovery here is weak or non existent (the double dip) and growth of any kind is anemic vs. robust, where's the pricing power? <<

people still have to eat. people still have to drive their car to work. the world won't just grind to a halt, people will still consume commodities. oil and gas prices have seen a nice bounce. bush is doing his part to firm steel prices. he is threatening to spread his tariff protection to other industries as well. there are lots of scenarios to make commodities more attractive than paper assets.

>> i also think, thus far, that the rise in the crb broadly speaking, may be a false spring unless in some cases, it is a matter of too many dollars chasing too few goods/materials as money leaves imaginary assets for "real" ones. <<

this is a real possibility. commodities don't have accounting problems <g> of course they are also undeniably cheap unlike many paper assets.
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