In a week when fears about global economic growth were stoked by a dovish Fed and weak euro-zone flash PMI readings for March, commodity prices actually performed rather well. However, we think that energy and industrial commodities will struggle to hold on to their 2019 gains in the face of mounting evidence of a global economic slowdown.
Looking ahead, markets will continue to follow closely developments in the US-China trade talks. US officials are set to arrive in Beijing to resume talks on Thursday and any signs of progress would probably give a lift to most commodity prices. Otherwise, it is a quiet week on the data front, although there could be further downbeat news about the euro-zone economy when several business surveys are released.
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