Today we are buying the Aussie $. Is the Commodities bear market over?

We are still short commodities, but we are now long our two commodity linked currencies. We bought Canadian Dollars Friday (as discussed in our last blog) and Australian Dollars this morning. We find this interesting, as our analysis is now showing that the bearish commodity call is not a one way bet. We had been short copper, oil, CAD$ and AUD$ for the last months. Now we are over hedged on the call, with short Copper and Oil making up 4% of the portfolio and long the AUD and CAD making up 13%. Like the Canadian dollar trade, the Aussie dollar trade provided a 4% return and the profits have now been realised a few hours ago. Read more... (VIEW LINK)