When inflation is oversold, I buy commodities

The U.S. Inflation Rate has been oversold (on a monthly basis) 7 times in the past 30 years.

This is represented by the blue line in the study below.

The most recent occurrence was a couple months ago.

Whenever this happens, probability points to a reasonable moment to accumulate commodities.

The orange line plots the S&P Goldman Sachs Commodity Index (SPGSCI).

November 15, 2023

by Rob Zdravevski

rob@karriasset.com.au