| US interest rates have long been regarded as critical in determining the outlook for commodities, but some analysts say investors need not worry too much about the US Federal Reserve reversing its monetary stimulus efforts in the near term, because commodity prices could rally even as US interest rates return to more normal levels.
Julian Jessop, chief global economist for Capital Economics, said in a report on Wednesday that it was widely assumed an increase in US interest rates might lead to lower commodity prices, as higher rates could result in slower economic growth, reduced demand for commodities, and increase the opportunity cost for investors holding commodities...............................................Full Article: Source
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