The euro currency technically and fundamentally is in trouble and so too is the long commodity trade. Traders more and more will seek safe harbor in the dollar and bonds, and commodities will seek to trade in a lower range.
The euro slid for a sixth day against the dollar and U.S. stocks fell, while Treasuries gained, after French Socialist Francois Hollande was elected president and Greek voters picked anti-bailout parties.
The oil market, already reeling from the weak jobs report, sold off more on fears that uncertainty in Europe will hurt demand. Perhaps more spending by France will help demand but at first glance, the market is not buying that argument.