Just last week, it appeared that a general rally in commodities was underway.

Gold, silver, the base metals and crude oil were all soaring. But now, less than one week later, prices are falling sharply. And why?

Blame the HFTs that trade the digital derivative contracts.

They've "seen" the sudden, sharp rally in the US dollar, and they've been quick to dump their metals exposure as quickly as they bought it last week.

Across the mainstream media, you'll see headlines like, "Investors Shunned the Yellow Metal Today as..."

Yeah, whatever. You likely know better by now.

Want to really see why COMEX gold has fallen so sharply? Just plot it with the euro.

Below you see a 10-day chart of COMEX gold (in blue) and the EURUSD (in candlesticks). We can use the euro as a proxy for an inverse of the dollar index because the euro is weighted at about 60% of the index.


http://news.goldseek.com/GoldSeek/1524685910.php