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Commodities: prices are experiencing their biggest fall

02/05/2023
Categories: Raw materials

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Le dernier rapport de la Banque Mondiale has notified that since the peak in June 2022, commodity prices have seen their largest fall since the ; the global economy stopped at the start of the COVID-19 pandemic.

Commodity prices are expected to remain above pre-pandemic levels, after falling by 32% from last year's peak. Laa Banque mondiale said in its updated outlook that it expects commodity prices to fall by 21% this year, compared to the 45% increase from last year. According to analysts, “the risks to the forecasts are on the upside, mainly because many of the factors underlying the commodity market shocks of recent times still prevail

.”

According to analysts, “continued high inflationary pressures may require an even more aggressive policy response from major central banks. Following the recent episode of financial stress, credit conditions may tighten. If these types of risks occurred, they would curb demand for industrial raw materials and lead to lower

prices.”
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