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Gold/Mining/Energy : Precious and Base Metal Investing -- Ignore unavailable to you. Want to Upgrade?

To: austrieconomist who wrote (20887)	9/22/2003 1:14:48 PM
From: austrieconomist	Read Replies (2) \| Respond to of 39344

Commodities Review. I have seen a variety of posts and commentary regarding price inflation as reflected in commodity prices in general. Maybe. I just wish to post once again the MZM surge from 11/00 to 1/02 research.stlouisfed.org and the possibility that this massive increase in the money supply resulted in a general boost to commodity prices 12 months later. futures.tradingcharts.com After a non-stop bullish run that commenced around November, 2001 (12 months after the beginning of the MZM surge) the CRB Index peaked at 248 in January, 2003, coinciding with the termination of the MZM surge 12 months previously. The CRB Index has not bettered its high in January and recent price action in the Index is breaking down. Maybe this is all coincidental, but combined with the recent activity of the Fed to drain reserves from the system, there is every reason to be flexible and cautious and not necessarily bet the ranch on the inflation scenario unfolding immediately.