Global commodity markets are poised to end 2020 on a strong note,
with recovering demand and widespread stimulus packages buoying prices after a
roller coaster ride caused by the coronavirus pandemic.
By Naveen Thukral
and Gavin Maguire
SINGAPORE
(Reuters) - Global commodity markets are poised to end 2020 on a strong note,
with recovering demand and widespread stimulus packages buoying prices after a
roller coaster ride caused by the global coronavirus pandemic.
Roll-outs of
vaccines to combat the virus and trillions of dollars' worth of fiscal support
are expected to boost investment and spending in 2021.
"It's been a
tumultuous year for the commodity market, as the oil meltdown in March changed
how we measure and gauge risk in the entire commodity sphere," Stephen
Innes, chief global
market strategist at brokerage Axi, told Reuters.
Graphic: Price
chart of key commodities markets in 2020
https://fingfx.thomsonreuters.com/gfx/ce/jbyvrbdrave/KeyCommds2020.png
"But thanks
to the Fed's unwavering support to dig the U.S. and global economy out of a
hole," commodity
markets have flourished, he added.
Dalian iron ore
futures and silver are up around 50% in 2020, leading the gains in commodity
futures.
No comments:
Post a Comment