I don’t see a story yet on Bloomberg, but commodity prices, even gold, have fallen despite the dollar’s fall. There is a story about oil falling $6 a barrel (!) but not about the commodity price decline generally. There has been only slight recovery of the dollar relative to the yen (97.2) so this was provoked by recession worries, not improvement in the dollar.
From the story about oil:
Crude oil fell more than $6 a barrel, retreating from a record, as signs that the economy is in recession overcame concern of a weakening dollar.
U.S. industrial production dropped more than forecast in February as the economic slump deepened, the Federal Reserve said today. Stock markets and the dollar tumbled after the Fed cut rates. A “buying orgy” in commodities inflated prices and increased risks of a collapse, said Paul Touradji, founder of the $3.5 billion hedge fund Touradji Capital Management LP.
“The roiled financial markets are pushing energy prices lower as investors seek cash and pure-cash equivalents,” said John Kilduff, senior vice president of energy at MF Global Ltd. in New York. “The deteriorating economic outlook is outweighing otherwise supportive aspects of the further decline of the dollar.”
Crude oil for April delivery fell $6.22, or 5.6 percent, to $103.99 a barrel at 1:35 p.m. on the New York Mercantile Exchange. Futures climbed to $111.80 a barrel today, the highest since trading began in 1983. Prices rose as much as $1.59 and dropped as much as $6.34 today.
Brent crude for May settlement declined $5.09, or 4.8 percent, to $101.11 a barrel on London’s ICE Futures Europe exchange. Futures reached a record $107.97 a barrel today.
“The volatility of the market today makes a good argument for cash being a nice place to keep your funds,” said Tim Evans, an energy analyst at Citigroup Global Markets Inc. in New York.
Some screenshots (click to enlarge):