Fed's anti-inflation rhetoric hits metals hard.

(From Business Line)

from BUSINESS LINE, June 28, 2006 Mumbai, June 27 - Most of the discussion in the international commodity market these days is centred, not around whether the Fed would raise the fund rate but by how much and in what timeframe. As a sequel to the Fed's stepped-up anti-inflation rhetoric, industrial and precious metals prices have been hit hard

Little wonder that expectations over the trade-off between inflation and growth have become a key driver of commodity prices last few weeks. Where is the interest rate headed? Hawkish tone For instance, Barclays Capital has revised its Fed interest rate call to six per cent this year (to be …