Salient to Investors:

Commodities beat equities, bonds and the dollar for a second consecutive month, the longest streak in more than a year, showing investors expect policy makers to succeed in stimulating growth.  More than two-dozen nations cut market interest rates this year. China has slowed for six quarters.

Bill O’Neill at Merrill Lynch said the market has clearly taken a very sanguine view

Raw materials entered a bull market last month after rising more than 20 percent since mid-June, erasing 2012’s losses.

Goldman Sachs predicts oil will advance 19 percent to $115 in three months, soybeans 14 percent to $20, and corn 13 percent to $9.

Hedge funds own close to their biggest bet on rising raw-material prices since May 2011.

71 percent of S&P 500 companies reported quarterly earnings that beat analyst expectations.

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