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Commodities Briefing - Categorized | Price Watch, Resources, Trends more

The resource boom ended in 2011 already

Posted on 18 January 2013

History shows commodity prices tend to trend sideways for 10–20 years, and then jump upwards in response to structural changes in the global economy, before resuming their sideways trajectory. That makes clear economic sense.
An event like China’s rapid industrialization and urbanization inevitably causes a sudden price leap, as suppliers scramble to meet the upsurge in demand. Eventually, producers bring new (and sometimes more marginal) resources on line and supply begins to catch up, at which point the dramatic price increases stop………………………………………..Full Article: Source


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VRS - who has written 36243 posts on Opalesque Commodities Briefing.


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