If inflation expectations remain “contained” why is a record amount of money pouring into commodities this year? Indeed, nothing like a rapidly increasing global supply of paper currency to drive up the prices of hard assets.
Reuters summarizes a recent research report from Barclays on investment flows into commodities:
“Barclays Capital’s figures showed strong inflows in October continuing into November with total money into commodities year-to-date already approaching a record $55 billion, displacing the previous record of $51 billion in 2006.”
Related link (from writejesse): Commodity reflation recap.