Many experienced traders knew the low volatility levels seen in the equity and bond markets could not last forever, but it appears that few were prepared for the sharp rise in volatility seen since the start of the 4th quarter.
Soybean futures got a much needed lift as heavy rainfall has moved over much of the central portions of the U.S.
The Japanese Yen is a bit of an enigma among the major global currencies, as it is at times viewed as a ?safe haven? asset during bouts of economic turmoil.
Feeder Cattle futures are trading at record price levels, as a sharp decline in feed costs and high retail prices for beef have encouraged ranchers to increase herd sizes.
Large speculators remain net-short Natural Gas futures, but have slowly reduced their position the past week.
The market?s reaction to Friday?s employment figures was mixed, with strong gains seen in equity indices and the U.S. Dollar, while commodity prices — especially precious metals and energies — fell sharply. U.S. treasuries were mixed, with rising yields in the short-end of the curve, while long-term bond yields fell, which sent the 2-Yr/30-Yr yield curve to 2.57%.
U.S. Bond bears have been thwarted in their attempts to send yields higher as the weakness in equity markets combined with increasing incidents of global unrest have sent investors back into U.S. Treasuries.
The much maligned Gold market continues to struggle as a strengthening U.S. Dollar is keeping commodity price gains in check.
Crude Oil Bulls received some positive news last week.
Lean Hog futures prices remain at historically high price levels despite seasonal tendencies that favor lower pork prices.
Front month Copper futures fell to their lowest levels in over 3 months on currency and demand concerns.
Both large and small speculators in Cocoa futures were lightening up on net-long positions last week only to see prices soar in past few trading sessions.