A broad range of commodity futures gained in value on Thursday, as investors bet that the Federal Reserve would continue working to weaken the dollar and boost inflation expectations.
That strategy appears to be working, at least in part – precious metals, grains, base metals and crude all rose on futures markets.
Silver led the charge for precious metals, with Comex silver futures for December delivery rising 47.3 cents to trade at $24.405 per troy ounce, after earlier hitting $24.95 per troy ounce.
Gold jumped as much as 1.1 percent, setting a new price record of $1,388.10 per troy ounce.
"The sharply lower dollar today is supporting most of the commodity complex," Doug Whitehead, an analyst at Rabobank in London, told Bloomberg/BusinessWeek. "As a whole, the weaker dollar is encouraging investment into the commodities sphere on an inflation play, and that's going to keep demand for commodities as an asset class strong."
Crude oil futures rose, with IntercontinentalExchange West Texas intermediate light, sweet crude oil futures rising 0.12 percent to $83.02 per barrel; earlier in the day, the contract broke $84 per barrel.
Corn futures, soybean futures and sugar futures also gained.
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