Traders tend to run toward commodities when the Fed leans toward quantitative ease as they assume dollar weakness and inflation will be the inevitable result down the road. Since Bernanke did not bang the drum for further ease, though he continues to hold the option in reserve, they are unwinding positions taken in anticipation of an immediate signal that the Fed would crank up the printing presses.
Crude has fallen heavily and the CRB is down half a percent since the speech hit the wires.
EUR/JPY seems to be playing the risk on game, falling back as asset markets weaken.
