jr, one of my interests is following macro economics. What you're saying is true but there is a reason why, for example, corn and uranium are declining in price (with most other commodities).
I have said a number of times that the FED will raise rates eventually and that should happen but by very small amounts. And the reason why the FED can't just push ahead and raise rates?
Despite the zero interest rates and $3trillion in additional stimulus the US economy is only slowly improving with sub 2% growth and core inflation stumbling around 1.5% and the reason is the huge deleveraging going on within the US economy. Deflation is dragging down prices all over the board and it is now affecting Europe, Japan and working it's way into the emerging markets via US higher interest rates. Australia is in the same boat.
So global demand is decreasing for nearly all commodities. Debt hasn't been repaid and it must so that the global banking system can stay afloat.
Now there will be many who disbelieve this and might make assessments based on erroneous assumptions. The result of all this money injected into the global financial system by Central Banks is a mammoth rise in equity markets. This alone confuses decision making.
Where will it end up? Japan went into deflation after enormous equity and property bubbles corrected 22 years ago. Wages and prices haven't risen there in this time and this is a possible scenario for the global economy unless China, India etc can start modernization and domestic consumption mass projects.
If these issues can be understood an investment strategy can be more profitable and generate substantial returns. I know I will not be believed but that's not my problem. Endeavour to research the above, it can only be of benefit.
