02.01.2015 - Commodity supply, global growth outlook & US dollar to continue to play dominant roles in 2015
In the third quarter of 2014, commodity price weakness was one of the most dominant themes in financial markets. Most commodities we track were not able to withstand this strong down trend. Oil prices dropped because of ample supply, political factors, concerns about the demand outlook and a higher US dollar. Precious metals were also hit hard. Silver was the worst performing precious metal, while gold was the best performing one, while still losing 8%. Base metals, except nickel, did relatively well, because of a lower sensitivity to the US dollar and a less substantial supply overhang. Commodity supply, the global growth outlook and the US dollar, will continue to play dominant roles in the first quarter of 2015. Oversupply will remain a challenge for energy markets. This will continue to depress oil prices in 2015, in our view...............................................Full Article: Source
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