Thoughts

Commodities Complex Continues to Fall


In late April, the rumors were that Soros was dumping his commodity holdings. Soros's 13F filing shows that he sold much of his GLD position and reduced holdings in individual gold stocks.

Run, don't walk, to read Gary Shilling's tome, "Still Home Sick," on John Mauldin's Outside the Box (registration required).


Spanish Bonds


With sovereign debt issues intensifying, it is interesting to note that last night, over there, there were two good auctions in Spain.

Spain sold one-year paper at a 2.6% yield. The previous auction was done at 2.8% and the bid to cover improved from 1.6x to 2.5x.

Spain also sold 18-month paper, yielding "only" 3.1% (vs. 3.4% previously), and, there too, the bid to cover was better at 4.1x (compared to 2x).