| Time is the most important variable in commodity markets but also the most frequently overlooked. Too often observers become trapped in an endless short term and fail to notice that the world is gradually changing around them.
As is well known, in the short term both supply and demand for most commodities are fixed and show little response to small price changes. Lack of responsiveness in the short term is why very large price adjustments are required to force markets back into balance and why commodities exhibit more volatility than the prices of other goods and services...............................................Full Article: Source
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