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Raw commodity market sector in trouble

March 5, 2020 by Jim Wyckoff

The benchmark U.S. 10-year Treasury note yield earlier this week fell below 1.0% to a record low, and remains below that level. This has prompted keen concern among long-term market watchers that a U.S. and /or global economic recession looms, including the prospect of debilitating consumer and commercial price deflation. That prospect is bearish for stocks and most commodities, and bullish for safe-haven assets like gold, the U.S. dollar and U.S. Treasuries. An examination of the weekly chart of the Goldman Sachs Commodity index paints a dour picture for the prospects for the raw commodity sector. The GSCI last week hit a nearly three-year low.

Filed Under: Blog News, Jim's Morning Report, Uncategorized

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