Many commodities, from copper to wood, have fallen from peak pandemic prices, easing the most serious concerns about inflation spirals. But investors are still bullish on many of them, claiming they still look cheap.
Copper is down 10% from the March record. Maize and soybean futures fell 13% and 19%, respectively, from their May highs. Pigs lost 17% this month.
Federal Reserve Board Chair Jerome Powell recently said Dramatic arc of timber The ultra-high material costs that characterize the reopening economy have shown how they are the result of supply bottlenecks and other factors that are not expected to continue as the global economy moves further away from the blockade. Timber futures fell 54% after reaching more than four times the average price of the most recent spring before the pandemic.
Richard Dunbar, Head of Multi-Asset Research at Aberdeen Standard Investments, said: “But lately, there have been some reminders that prices aren’t going straight.”
Despite the recent decline, timber remains twice the typical price at this time of the year. Copper, low crops and pigs are still the highest prices in the last few years.With oil Natural gasThe delay in resumption has skyrocketed to the highest level since 2018.
Despite the recent decline, commodities are still a popular bet
Source link Despite the recent decline, commodities are still a popular bet