Commodity Research Bureau Index - CRB


DEFINITION of 'Commodity Research Bureau Index - CRB'

An index that measures the overall direction of commodity sectors. The CRB was designed to isolate and reveal the directional movement of prices in overall commodity trades.

BREAKING DOWN 'Commodity Research Bureau Index - CRB'

Generally commodity prices move opposite to bond prices. This is because inflation causes commodities to increase in price while devaluating the price of bonds. This is one of the reasons that the CRB is so closely watched by both bond and commodity traders.

  1. Inflation

    The rate at which the general level of prices for goods and services ...
  2. Bond

    A debt investment in which an investor loans money to an entity ...
  3. Commodity

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  4. Chicago Board Of Trade - CBOT

    A commodity exchange established in 1848 that today trades in ...
  5. Capitalization Rate

    The rate of return on a real estate investment property based ...
  6. Implied Volatility - IV

    The estimated volatility of a security's price.
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