Commodities failed to turnaround last week, following the severe selloff in the prior week. Among the various factors affecting price movements, we attributed the huge volatility to the change in futures margin requirements. Other factors, such as fears over rising inflationary pressures and growth slowdown, Chinese tightening, sovereign debt crisis in the European periphery, lingered and will continue to affect the commodity outlook for some time.
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Weekly Fundamentals – Thinking at the Margin
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