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To: Defrocked who wrote (30457)5/2/2000 10:26:00 AM
From: pater tenebrarum  Respond to of 42523
 
Def, yes, wouldn't you know it, there IS no inflation...it's as if by saying it often enough it becomes more true...:)

the CRB index looks very bullish to me...i looked at all the components yesterday, and all the major complexes look bullish, with the exception of softs. and even there, coffee and cocoa are probably close to a bottom. (coffee went limit up yesterday incidentally...so did soybeans and soybean meal).

my theory regarding the CRB is that the excess liquidity from Japan may well find its way into commodities for a change instead of paper assets. since commodity markets are comparatively small (except energy), a little bit of money can move prices a lot.

so this is the area where the next cost-push inflation potential is going to come from...commodity prices.