Summary
Commodities have had a wild ride in the past decade, from record heights in the summer of 2008 followed by the steepest plunge on record in the financial crash. Recovery through 2011 was succeeded by a long decline that has left the Bloomberg Commodity index at its lowest point since April 2002. The index closed on Thursday, July 23rd 7.5% lower than it was at the depth of the last recession. Traditionally commodity prices are the indicators for the revolutions of the business cycle. But in the past 15 years and particularly in the era of central bank zero interest rates they have become a vehicle for trading profits and returns unavailable in other markets. Does the precipitous fall in commodity prices in the past four years predict a coming contraction in demand and recession, is it the result of the withdrawal of trading capital from markets as rates begin to rise, or is it the residue of over investment in production from a decade of artificially low interest rates? Join us for an examination of the commodity market in flux.Latest Live Videos
Editors’ Picks
AUD/USD: Some profit-taking should not be ruled out
AUD/USD has quickly faded Wednesday’s strong advance despite climbing to new multi-year highs around 0.7150 earlier on Thursday. The pair’s decline comes amid a marginal uptick in the US Dollar, while investors gear up for US CPI data and relevant Chinese releases on Friday.
EUR/USD faces next resistance near 1.1930
EUR/USD has surrendered its earlier intraday advance on Thursday and is now hovering uncomfortably around the 1.1860 region amid modest gains in the US Dolla. Moving forward, markets are exoected to closely follow Friday’s release of US CPI data.
Gold plunges on sudden US Dollar demand
Gold drops markedly on Thursday, challenging the $4,900 mark per troy ounce following a firm bounce in the US Dollar and amid a steep sell-off on Wall Street, with losses led by the tech and housing sectors.
Ripple collaborates with Aviva Investors to tokenize funds as XRP interest declines
Ripple (XRP) exhibits subtle recovery signs, trading slightly above $1.40 at the time of writing on Thursday, as crypto prices broadly edge higher. Despite the metered uptick, risk-off sentiment remains a concern across the crypto market, as retail and institutional interest dwindle.
A tale of two labour markets: Headline strength masks underlying weakness
Undoubtedly, yesterday’s delayed US January jobs report delivered a strong headline – one that surpassed most estimates. However, optimism quickly faded amid sobering benchmark revisions.
Here is what you need to know on Friday, February 13:
The US Dollar (USD) holds around 97 in the American session on Thursday after Wall Street fell sharply on fresh AI-related fears, as the tech sector is far from generating decent profits.