27 Feb Slumping Commodity Prices
Kiplinger Letter sees commodity prices staying soft for at least the first half of 2019. The health of the global economy and uncertainty related to the U.S. and China trade disputes are keeping prices from rebounding after a slump late in 2018. It is expected that oil prices will perk up a bit, as OPEC and Russia curtail production to combat a global glut in crude oil supplies.
If the U.S. and China can agree on a trade deal, expect all kinds of commodities to get a shot in the arm, since China is the largest raw material user in the world. The U.S. and China have until March 1 to reach a deal to avoid further tariffs on Chinese goods.