Monday, May 4, 2015

Commodities Gone Wild

The divergence between the prices of crude oil vs. precious metals is counterintuitive, because there is roughly an 80% correlation over the long-term--not an inverse relationship.

Perhaps regression to the mean is occurring after bouts of overshoot/undershoot.

http://www.zerohedge.com/news/2015-05-04/commodities-gone-wild

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