NEW YORK, July 11, 2018 /PRNewswire/ — Commodities fell in June as the production of agricultural commodities increased, while rising trade tensions among major economies threatened demand. The Bloomberg Commodity Index Total Return performance was lower for the month, with 16 out of 22 Index constituents posting losses. Credit Suisse Asset Management observed the following: Agriculture declined 10.48%, led lower by Soybeans, as the ongoing trade conflict between the US and China continued to hurt the competitiveness of US products. The US Department of Agriculture also reported higher soybean production out of Brazil. Industrial Metals fell 4.76%, led down by Zinc, after the International Lead and Zinc Study Group showed global production outpacing consumption during the first four months of the year. Precious Metals dropped 3.29%. The US Federal Reserve (Fed) raised the Federal Funds Rate, while signaling it may hike at least one more time in 2018, decreasing the appeal of Gold and Silver as alternative stores of value. Energy increased 2.70% for the month, led up by WTI Crude Oil, as increased US exports, doubts surrounding US producers’ ability to continue to grow production, and a power outage at a large Canadian producer pushed prices higher. Livestock was… continue reading
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Source: CTRM Center