The CRB index is now just 3.5 percent below the Jan. ’10 post-bubble high and, this, with crude down over 10 percent.  Crude, heating oil, and natural gas make up about 18 percent of the index.   Look for commodity traders to get all lathered up as the CRB breaks through resistance,  maybe as early as next week.   It’ll be interesting to see if the Fed downplays QE2 if we get a huge spike in commodities.    Doubt it.   Fully expect crackdown on the specs to heat up.  Hope all enjoying the under invested buying panic in equities.  “Long may you run!.”

The Reuters/Jefferies CRB Index of 19 raw materials rose as much as 1.4 percent to the highest level since Jan. 15. Gold futures rose to a record, topping $1,300 an ounce, and silver futures jumped to a 30-year high. Corn, soybeans, wheat and cotton rallied.

The greenback fell to the lowest level since February against a basket of major currencies. Orders for U.S. capital equipment rebounded and German business confidence improved, fueling demand for higher-yielding assets. The Federal Reserve has kept borrowing costs low and may take more steps on monetary policy to bolster the U.S. economy. – Bloomberg