Commodity Market News

Bank of America’s bullish call on commodities—driven by a ‘run it hot’ fiscal stance and rising institutional flows—meets a sharp copper supply squeeze after Mercuria withdrew ~40,000 tonnes from LME Asia. Together these developments are lifting prices across energy and base metals and heightening the importance of inventories, backwardation, and hedging for traders and industrial users.

A sharp split emerged this week: crude prices slid on an oil supply glut, while precious and transition metals climbed. China plans a diesel export surge to ease tight Asian fuel supplies—moves that shift flows across energy and metals.

The World Bank forecasts another multi-year decline in commodity prices through 2026 — led by energy — while a short-lived cold snap sent U.S. natural gas sharply higher. Combined, the headlines underline a disinflationary trend for broad commodities even as weather-driven volatility continues to disrupt individual energy markets.

China’s October import data showed broad declines in oil, gas, copper and coal while iron ore imports rose and port stocks climbed; separately, TSX futures ticked higher as gold and copper rallied on hopes of a U.S. shutdown resolution and Fed rate-cut expectations.

China’s October import data show broad declines in energy and base metals while iron ore imports and port stocks rose; separately the FAO reports falling world food prices led by sugar and dairy, signalling softer near-term commodity demand but selective strength in raw materials.

Gold surged past $4,000 on renewed Fed-cut expectations while crude slid amid oversupply concerns; U.S. natural gas climbed ~3.4% on colder early-winter forecasts.