Oil, Other Commodities Will Be in the Dumps for Another Decade

The ‘supercycle’ that drove commodities higher has now reversed
by Howard Gold
Market Watch
Remember the commodities supercycle, that seemingly endless 2000s commodities boom? It drove oil, gold, copper and other commodities to record levels.
The supercycle was driven by exploding demand from China and other emerging countries, supply bottlenecks caused by years of not developing wells and mines, and rock-bottom interest rates that inflated demand for hard assets all around the world.
But now gold, oil and other commodities are well off their peaks, so far off, in fact, and for so long that they can only be described as in a supercycle in reverse, or a secular bear market.
If that’s true — and I’m pretty sure it is — investors who piled in to commodities are in for a bruising decade ahead unless they take profits or cut their losses.
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