No Quiet Markets Here
The litany of predictions for 2010 all seemed to suggest tepid performance for the capital markets. I myself have suggested that volatility, as measured by the VIX, will continue its current trend lower. However, Wednesday January 6th provided firm evidence that opportunities do exist for those who work hard enough to find them.
As demonstrated by Wednesday's futures markets trading, the surges in both price and volumes are extremely encouraging. The equity market awaits the Friday January 8th release of the December Unemployment report, however capital was certainly being deployed to the Commodity/Natural Resources space Wednesday.
Commodities/Natural Resources are a theme of which I have long been a proponent. I get the impression that the transition from 2009 to 2010 for Commodities/Natural Resources will be rather seamless. Take a look at the volume surge in Spot Crude Oil Wednesday. Folks, they weren't selling those commodities. Invest accordingly.
Spot Oil FuturesSource: Bloomberg