CIBC Private Wealth
May 05, 2022Commentary
Global Commodities Update
Commodities continue to steal the spotlight—the price of oil has pulled back a bit after reaching record decade highs in March. “Global trade flows and patterns have been changing, which has created a really challenging environment. It's certainly not just in oil and energy, but we're seeing it in all the commodities with big moves in prices,” explains CIBC’s Daniel Greenspan.
Oil and copper
Russia accounts for around 10% of the global oil market, and oil’s supply-side continues to change causing producers to readjust. As for copper, supply is tight, and demand is poised to rise as the world moves to greener energy. Could China’s recent surge of Covid cases jeopardize prices for both commodities?