Commodities Hit 16 yr Lows; Time to Jack Up Rates

I don’t even know what to say anymore. I guess higher rates will make CHK go away, finally, and pave the way for a better CHK. And, higher rates will help my mother save for retirement, since she hates stocks and loves CDs. Aside from that, raising rates is like sticking your face into the blades of a blender, on purpose. Sure, you’ll come out alive and in one piece; but you’ll be ugly as fuck.

Investors are suffering through the worst commodity collapse in a generation. Bulls can blame the cooling economy in China, the world’s largest consumer of metals, grains and energy. The nation’s slowest pace of the growth in two decades is stamping out demand and leaving the world oversupplied with everything from aluminum to wheat. The prospect that U.S. borrowing costs will rise for the first time nine years is compounding concern that raw-material users will slow or abandon plans for expansion, eroding consumption.

“It’s all about the jobs report and the outlook for the Fed liftoff,” James Cordier, founder of Optionsellers.com in Tampa, Florida, said in a telephone interview. “The quantitative easing in the U.S. that began almost a decade ago boosted commodities, mainly because of the weaker dollar. The infrastructure spending in China has changed dramatically. Both of those are now behind us.”

I guess you cannot have the market you want; but, instead, you get the market you are given.