Everyone is looking at oil and how it effects Russia, Saudi Arabia, and the shale oil producers in the midwest, but the story is a whole lot larger.

Commodity prices are at their lowest since November 2002, according to the Bloomberg Commodity Index. And while the collapse in oil to below $45 a barrel has grabbed the headlines, the index tracks 26 commodities, including gold, natural gas, corn and aluminum. Copper, for one, is in a funk similar to that of crude, falling to its lowest price in more than five years. Overall commodity prices are down more than 57 percent from their 2008 peak

This article doesn’t come out and say it (the article is about global deflation), but historically commodity prices crash on a global level for only one reason – lack of demand.
That means the global economy is very quickly coming to a stop.


10 thoughts on “It’s not just oil that is crashing, and that’s not good

  1. I just read the full article. That’s pretty scary if it’s true. What do you think? Do you think the world economy is slowing down?


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