Asia Economics Update Drought adds to Thailand’s economic headwinds A severe drought in Thailand is hurting its agricultural sector and adding to the country’s economic woes. Rising downside risks to growth will increase pressure on the Bank of Thailand (BoT) to... 21st July 2015 · 1 min read
Commodities Update China’s corn and wheat imports surge in June China’s imports of agricultural commodities were generally strong in June, suggesting a pick up in underlying demand. However, opportunistic buying due to lower prices is likely to have been a factor... 21st July 2015 · 1 min read
Commodities Update Subdued demand will undermine cocoa prices The latest European and North American cocoa grinding data continue to point to subdued demand. Combined with a rebound in Ghanaian production, we think that the price of cocoa will fall this year. 17th July 2015 · 1 min read
Commodities Update Sales of China’s cotton stocks to push prices lower The price of cotton has been one of the better performing among agricultural commodities this year. However, we think prices are likely to fall as China seeks to sell its huge cotton reserves. 14th July 2015 · 1 min read
Commodities Update Lower opening corn & soybean stocks mask the bigger picture Although market prices reacted positively to the USDA’s latest WASDE report, there is no evidence to suggest that world grain and soybean supplies are facing a significant tightening. We think the... 13th July 2015 · 1 min read
Commodities Weekly Ouch! Commodity investors could be forgiven for a huge sigh of relief that this week is over. The combination of the crisis in Greece and – especially – worries about the fallout from the slump in China’s... 10th July 2015 · 1 min read
Commodities Update Malaysia Monthly Palm Oil Data (Jun.) Data released earlier today by Malaysia’s Palm Oil Board show that although crudepalm oil production declined in June, it was still 12% higher y/y. Inventories alsoremain significantly higher on a... 10th July 2015 · 1 min read
Commodities Update Ethanol demand in Brazil to support sugar price Rising ethanol output in Brazil to meet domestic demand should help lift the price of sugar this year. We forecast the benchmark price at end-year at 13.5 US cents per pound, up from 12.3 cents today. 9th July 2015 · 1 min read
Commodities Update Supply worries see prices spike and investors turn bullish The past month has seen a huge reversal of investor sentiment towards agricultural commodities. Surging grain and oilseed prices, on account of poor growing conditions in the US and Europe in... 7th July 2015 · 1 min read
Commodities Update Rising demand and tighter supply to lift arabica prices High Brazilian exports have kept the coffee market well supplied and prices down. But we think lower global stocks and continued demand growth will support prices over the second half of the year. 3rd July 2015 · 1 min read
Commodities Update Soybean prices now more likely to fall than rise Wet conditions and lower-than-expected stocks in the US have pushed the price of soybeans to its highest level this year. But with plentiful global supplies, we don’t think the recent rally will last... 1st July 2015 · 1 min read
Commodities Chart Pack Grains aside, commodities remain in the doldrums The prices of US grains and soybeans jumped in June on weather-related supply fears, but most other commodities are still becalmed – at best. Industrial metals continued to struggle, despite... 1st July 2015 · 1 min read
Commodities Update Competition from soy will push palm oil prices lower The price of palm oil has struggled to find asense of direction this year, falling below MYR2,100 per tonne in April, before recovering to MYR2,300 by early June. In this Agricultural Commodities... 30th June 2015 · 1 min read
Commodities Weekly Adverse weather boosts agriculturals The prices of many agricultural commodities rose this week as adverse weather, notably in the US but also in Europe, clouded prospects for forthcoming harvests. Meanwhile, the prices of industrial... 26th June 2015 · 1 min read
Commodities Update Slightly sweeter times ahead for the price of sugar A mountain of sugar has been the catalyst for prices falling to a six-and-a-half year low. However, higher ethanol output in Brazil and a small world sugar deficit in 2015/16 should help to lift the... 25th June 2015 · 1 min read
Commodities Update How will China’s rebalancing affect consumption patterns? In the short to medium term, rising incomes will remain the key driver of changing dietary patterns in China, particularly for meat demand. However, a shift towards consumption-led growth and... 24th June 2015 · 1 min read
