Market Comments

Securities prices are influenced by thousands of factors day in and day out. On rare occasions one event will stand out for its broad-based implications across the investment spectrum. The recent high achieved by the CRB index (Commodity Research Bureau) was such an event. Since then, commodity prices have nose-dived and the ripple effect has been felt throughout equities markets, fixed income, and even to some extent among currencies.

The commodities correction now underway, has been costly for those who didn't recognize the signals. This should not blind anyone to the fact that sharp corrections in powerful uptrends sometimes provide exceptional investment opportunities once they are over. The bigger the correction under these circumstances, the bigger the potential opportunity. The commodities plunge has been unrelenting, and I'm patiently watching for a reversal.