Does a commodities boom run before a stock market crash, and, if so, what does it say about the futures for shares? This was a question Geoff Wilson of WAM, Paul Rickard and I were asked by an attendee at our Switzer Report webinar on Friday.
Geoff instantly looked at the GFC crash and noted that we’d had a commodities boom ahead of that brush with market devastation. However, he could not say he had noted a historical association of a commodities boom and then a market crash.
I didn’t have any ammo on the subject so I promised to look into it for today’s piece. So, this is what I’ve found.