A rebound in commodities prices and investment is poised to extend in coming months as the sector gets its traditional boost during the final stages of the global economic cycle along with other drivers.
The dovish change from the Fed and growing stimulus in top commodities consumer China would extend the current positive economic cycle and support commodity prices, JPMorgan said in a note. Commodity assets under management have climbed to $407 billion, breaching $400 billion for the first time since October, Citi said, based on data through March 5.
The funds’ net long position in Brent crude has more than doubled from a low hit in early December, but is still less than half of the record high touched in April last year. Agricultural exports to China could grow to $30 billion or more a year, Citi analyst Aakash Doshi said in a note. This compares to nearly $20 billion in 2017.
Business Business Latest News, Business Business Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: globeandmail - 🏆 5. / 92 Read more »