Many of the usual relationships between oil and other commodity prices have broken down in the past year, with the cost of crude rising to its highest level since 2008 while the prices of key industrial metals and agriculturals are typically some 15-20% lower than 12 months ago. Given the high weight on oil in the leading commodity indices, the strength of oil prices has flattered the performance of commodities as a whole. But we do not expect oil to remain an outlier for much longer as the demand for crude falters and the Iran risk premium fades.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services