Energy Update Henry Hub to outperform amid COVID-19 outbreak While the price of US natural gas (Henry Hub) has slumped on the back of coronavirus-related concerns, it has fared better than natural gas prices elsewhere. And given the low exposure of US LNG... 21st February 2020 · 3 mins read
Precious Metals Update Higher truck loadings no panacea for platinum The price of platinum has risen nearly 5% since the start of February, buoyed by heightened uncertainty prompted by the outbreak of COVID-19. Later this year, and assuming the virus is successfully... 20th February 2020 · 3 mins read
Precious Metals Update Silver to outperform gold in 2020 Heightened global uncertainty related to the outbreak of the coronavirus will support gold and silver’s investment appeal in the near term. Later this year, however, and assuming the disease is... 19th February 2020 · 3 mins read
Commodities Update Strong dollar not necessarily a major headwind Our forecast for the US dollar to remain strong in 2020 suggests downward pressure on commodities prices. However, we would argue that there are instances when commodity prices can still rise -... 18th February 2020 · 3 mins read
Industrial Metals Update Perception the key to cobalt’s future There is potential for cobalt’s end-use in electric vehicle batteries to grow rapidly. However, concerns over the concentration of cobalt supply in the DRC have held back demand so far. Several auto... 18th February 2020 · 4 mins read
Commodities Update Don’t read too much into the collapse in the BDI Disruption to China’s commodity imports, owing to the outbreak of coronavirus, has sent the Baltic Dry Index into freefall. While freight rates should recover as and when China’s industrial activity... 17th February 2020 · 2 mins read
Energy Update LNG prices to remain in the doldrums LNG prices should recover from their current coronavirus-related lows by end-year. But given the significant oversupply in the market, prices are likely to remain historically weak. 13th February 2020 · 2 mins read
Industrial Metals Update Supply cutbacks in China look increasingly likely Measures to contain the spread of coronavirus in China have already dealt a heavy blow to metals demand. But the longer China’s economy remains part-suspended, the greater the chance that supply is... 13th February 2020 · 3 mins read
Precious Metals Update China’s December gold imports a flash in the pan Chinese imports of gold surged in December, while India’s foreign purchases remained in the doldrums. Looking ahead, we expect high local-currency prices in India coupled with a slowdown in Chinese... 11th February 2020 · 2 mins read
Commodities Update The oil market to flip into a deficit after Q1 The economic disruption caused by the coronavirus means that we now expect the oil market to be in a surplus in Q1 2020, as opposed to the deficit that we had previously envisioned. However, providing... 11th February 2020 · 3 mins read
Precious Metals Update Turnaround in global growth to hit gold demand If the coronavirus is eventually brought under control, we think that 2020 will mark a turnaround for gold demand. ETF inflows are likely to shrink as a more benign macroeconomic backdrop stunts safe... 4th February 2020 · 3 mins read
Commodities Update China’s PMIs already old news China’s PMIs dipped in January, but they offered little indication of the state of the economy in the wake of the coronavirus outbreak. Though a slump in Chinese activity in Q1 now seems almost... 3rd February 2020 · 2 mins read
Industrial Metals Update Coronavirus could push copper market into surplus The outbreak of coronavirus in China threatens to derail the recovery we were expecting in the price of copper this year. In fact, when our estimate for the potential loss of copper demand is plugged... 31st January 2020 · 3 mins read
Precious Metals Update Palladium dancing to its own tune Palladium’s blistering price rally has probably run its course, but we expect prices to remain close to historic highs in 2020. The market is mired in a deficit and demand growth looks set to remain... 30th January 2020 · 3 mins read
Commodities Update Is the coronavirus-led collapse in oil prices justified? Our analysis suggests that it is difficult to square the coronavirus-led sell-off in oil markets with the fundamentals. Instead, we think the move is rooted in a marked deterioration in investor... 29th January 2020 · 3 mins read
Commodities Update Phase One deal no bonanza for commodities There has been a muted response in commodities markets to the signing of the Phase One trade deal between the US and China, perhaps because the good news was already priced in. That said, it may also... 16th January 2020 · 3 mins read
