MBWealth's blog

Commodities appear to ending 2010 on a high note with several commodities reaching multi year and multi decade highs as we speak.

We had expected trading to slow down by this time but the volumes are still there and we’re seeing plenty of tradable action.

Based on the market action today there does not seem to be any slow down or lost interest in the commodity sector. Oil is still range bound trying to decide a direction from here.

Not a whole lot of excitement as the end of 2010 draws closer. Crude oil remains range bound trading in a $3 range for the last 10 days.

The Federal Reserve meeting today was a non-event. Inside day in Crude oil with prices trading slightly lower.

The direction of the dollar should impact a number of commodities in the coming session but wait for a confirmation tomorrow.

Markets remain in a holding pattern awaiting an adjustment in rates in China over the weekend. While Crude only looks to close down $2 on the week we did close lower all five sessions.

January Crude closes virtually unchanged on the day but as we’ve hinted in recent blogs we think there is more work to be done on the downside.

As the year winds down expect the volatility to remain constant as commodity investors square their books and start closing out their positions.

From indices to energies, metals to grains today may mark a key reversal day…stay tuned. As of this post Crude oil is down 1.20% but almost $2.50 below its intra-day high.