Gold is surging again, but can prices push above 1900? [Video]

Commodity prices are surging across the board with everything from the metals, energy to agriculture markets, trading near multi-year highs as the supercycle gathers pace.

Last week, Iron Ore broke $200 a ton for the first time ever. Palladium broke above $3,000 to hit a new record high and Copper prices surpassed an all-time high.

The bullish momentum also split over into the precious metals with Gold prices rising for a second straight week in a row to settle at its highest since February. While Silver prices closed the week trading near 3-months highs.

There are plenty of reasons why commodities are on the move, but the key driver is rising inflation, which has spurred significant demand for assets with inflation-hedging capabilities.

U.S Inflation in April accelerated at its fastest pace in more than 12 years with CPI jumping a sizzling 4.2% from a year earlier. The increase in the annual headline CPI rate was the fastest since September 2008, while the monthly gain in core inflation was the largest since 1981.

Looking ahead to this week, the key macro events that traders will be watching closely for clues on the markets next big move include; the FOMC meeting minutes from April, Jobless claims, Flash PMI estimates as well as comments from a host of Fed speakers.

Where are prices heading next? Watch The Commodity Report now, for my latest price forecasts and predictions: