Key Inflation Indicators Facing Big Test In September!

Sharing is Caring!

by Kimble Charting

Inflation has long been a word that the Federal Reserve uses but the general markets have forgotten about.

Why? Well because it’s been virtually non-existent for years. Key indicators like commodities (i.e. copper) have been in a down-trends and the Materials Sector (XLB) has lagged… until this year.

In today’s chart 3-pack, we take a look at the Equal Weight Commodity IndexCopper Futures, and the Materials Sector to highlight why inflation could come back to the forefront once again!

As you can see, commodities have been making a comeback this year and are testing an important down-trend line. Copper futures have also rallied and are testing its own down-trend line. And Materials have risen to make new highs but have yet to close above it prior highs (so also testing important resistance).

Taken together, this is a big test to see if inflation is peaking or about to end long-term bearish trends. Stay tuned!

This article was first written for See It Markets.com. To see the original post CLICK HERE.

 

 

171 views

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.