There is an increasing political pressure to do something about energy and agriculture prices. Riots and protests are causing head-aches to politicians. Countries are now pressuring OPEC to open the taps to increase the supply of oil to lower oil prices. It will also not take too long for politicians to come up with ideas to curb escalating cost of food prices.

We are seeing a new systematic risk in commodity investing. Previously commodity prices works like demand/supply story. These days, actions by politicians have also to be considered into the risk picture.

Perhaps the exception is Gold. I don't think anyone will scream if gold prices go up. Gold cannot be eaten (unlike food) and gold is not burn for fuel. Perhaps electronic board makers will be unhappy if gold goes up as gold is one of the component used for electronic board. But than, technology sector is already a sector that people has been used to seeing double digit losses and thus it is nothing new to see technology sector losing money.