Fund flows into commodities are slowing down drastically.
Though of course, if you truly believe prices are supported by fundamentals, then this shouldn’t be of any concern.
WSJ: Investors plowed a record $50 billion into commodities this year, helping drive prices for crude oil up 79% and gold 23%, but just $2.2 billion of new money flowed into commodities in October.
That would mark the lowest monthly inflow since July — when threats of market regulation briefly unnerved investors — and the second-lowest since November 2008.
On a quarterly basis, inflows into commodity investments have fallen from about $22 billion in the first quarter to $17 billion in the second and $11 billion in the third. The inflows already are more than triple those of 2008. On Thursday, gold closed at a record $1088.70 an ounce.