Speculators Hiked Commodities? Think Again

While it's in vogue to blame soaring commodity prices on speculators, the credit crisis may be far more at fault -- in a way that's likely to keep prices high for years to come.

The only real way to get down prices of materials from everything from oil to molybdenum to copper to gold is to increase supply of those commodities relative to demand.

Unfortunately for anyone wanting to buy those materials from companies such as Exxon Mobil(XOM Quote), Rio Tinto(RTP Quote) and BHP(BHP Quote), that supply response has been stymied. It could extend the period of sky-high commodity prices for many years.

While there are many candidates to take the blame, the lack of funding caused by conservative lending standards -- and the ongoing fallout from the credit crisis -- must rank near the top of the list of culprits. ...