Recovery in commodities?

Commodities
Signs of recovery? Precious metals put since Draghi speech

The markets react quickly to political change, as evidenced by the strong performance of precious metals since Draghi's speech at the end of July. However, it will take time before that reflects a global growth recovery in hard data.


Nothing is certain, but it is showing signs of recovery

ECB President Mario Draghi as promised on July 26 to do everything to save the euro, he triggered a rally. In addition there are signs of recovery in the U.S.. Last week, the unemployment rate in the U.S. fell below 8%, the lowest level since Barack Obama took office in 2009.

Before we deal with the current economic situation in the U.S. and the euro zone, we first outline our assessment of the commodities market and our tactical asset allocation. As the chart shows, the markets react very quickly to monetary policy actions. Businesses and consumers, on the other hand need a little more time. So it will probably take a month to confirm the data our assessment of a moderate global recovery.


Overweight precious metals mined

Economic skepticism pushes oil and copper price

Growing doubts about an early recovery of the global economy weighed heavily on the commodity markets.

Frankfurt A barrel of U.S. WTI oil cost $ 91.42 with less than 0.5 percent on Tuesday. Brent oil prices were down 0.7 percent to $ 110.77. Copper traded 0.5 percent lower at $ 8,283 per tonne. Thus, all three remained within their margins in recent weeks.