‘When The End Inevitably Comes’

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When The End Inevitably Comes.

Many bubble bloggers, including myself, have talked in the past about fears of a pending economic collapse, of which the housing market is only a part. I was reminded of that today when I ran across a column by Bloomberg News columnist Chet Currier. Here's an excerpt:

The world's commodity markets are making financial history.

They have staged a powerful rally heralding the emergence of a great global economic boom. Take a gander at the price of copper, which has roughly tripled in the last two years.

Oil, the commodity making the biggest headlines, last week soared above $75 a barrel for the first time. Gold, at more than $650 a troy ounce, looks to be mounting a challenge to the record highs set 25 years ago. Silver rocketed 8 percent on Friday when a new trading vehicle, the Ishares Silver Trust exchange-traded fund, made its debut.

All this has produced whoops of vindication from the commodity faithful, who spent the 1980s and 1990s sitting on the sidelines while paper assets such as stocks and bonds prospered.

It has also brought cries of alarm. However long it lasts, many voices of experience say, the commodity rally is headed toward a collapse like the one that ended the last great upsurge, which occurred in the 1970s.

Read the entire column at this link.

-- The Boy in the Big Housing Bubble/Los Angeles and Beyond