Cross-Asset Correlations… CME – Commodity Research Group

June 4, 2020 by Jim Colburn Leave a Comment

This excellent cross correlation tool from the CME shows us what’s been moving together and what has not… Crude oil’s highest correlation outside its family is +.59, with corn!, and +.52, with copper… Perhaps there is a connection with expectations of world gdp growth, but let’s keep in mind the correlation/causation problem and that these measures/relationships are likely unstable… But look at platinum… +.55 with copper, +.52 with gold… part precious part industrial metal?

Commodity Research Group (CRG), founded by veteran analyst Edward Meir, is an independent research consultancy specializing in base and precious metals, as well energy products. The Group provides research and general price analysis for these markets, along with advice to companies seeking to construct commodity hedging strategies.

Our associates bring decades of experience to the table, as they seek to help our clients understand the markets. CRG will distill the myriad of pricing variables mentioned above into coherent research that is to-the-point and tailored to a clients hedging or pricing needs. In addition, CRG is available for consulting assignments and speaking engagements. CRG does not manage money or trade for itself.

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