Hyperinflation Ahead?
By Kristina Zurla Landgraf • May 21st, 2009 • Category: Broker CommentaryHyperinflation Ahead? By Frank J. Cholly
I’m bullish commodities, and see these current levels as good buying opportunities. I think that six to 12 months down the road, we’ll look back and wish we had bought more. Softs, agriculture and energies, I think, have the most to gain. However, equities, metals and certain currencies should be bought too. The U.S dollar has started to correct and move lower, I think this trend will continue. As the dollar devalues, I think commodities will rally. We have also begun to see encouraging signs of an economic recovery. If the economy is truly bouncing back, then demand for commodities and the appetite for risk will also return.
We are in the early stages of another big bull market for commodities. Don’t miss this opportunity to get long commodities.
We have historically low interest rates, we have an administration in Washington that is on a spending spree, and we have a currency that is losing value. Sounds like “hyperinflation” to me. Now, I understand that inflation is not yet in the picture, but I believe that it is coming and commodities will be the place to be.
Now is the time to get involved again. If you’ve been on the sidelines, I recommend you get back in. If you need to fund your account, give it serious consideration (it must be risk-capital). If you need trade guidance, feel free to contact me. I have a variety of strategies…one of them might be suitable for you.
Frank J. Cholly is a Senior Market Strategist with Lind Plus, Lind-Waldock’s broker-assisted division. He can be reached at 866-231-7811 or via email at fcholly@lind-waldock.com.
Futures trading involves the substantial risk of loss and is not suitable for all investors.
