That’s the only way to describe the scene in the commodity world today, as a dismal night in China, and a strengthening greenback continue to make the speculative froth go away.
A few notable moves, via FinViz:
- Silver is off 3.5%
- Soybean Oil is off over 4%
- Wheat is off over 2%
- Coffee is off over 3.6%
Here’s the key thing to know… prior to the big selloff that started Friday, speculators were universally positioned to be long these commodities (and short the dollar), and so there wasn’t much direction for this to go, and not surprisingly, the selling is furious.