Primary Commodities Report for November 17th - 21st

By: Gabriella Acevedo, The Quinnipiac University Global Economics Research Team

Commodities Index

Source: Yahoo Finance and own calculations. Rates are in United States dollars per one (1) unit of goods. Brent Crude Oil is measured in barrels. Natural Gas is measured in MMBtu (Million British Thermal Units), Gold is per troy ounce, and for Nickel the price reflects price per share of (NIKL) ETF. They are all indexed to be at 100 at the start of the period.

Nickel (Red) is the biggest mover for the week of November 17^th – 21^st. It started the week declining and continued to do so. It had a slight increase at the end of the week which resulted in Nickel (Red) finishing the week at ~ 6.48% below the baseline. Natural Gas (Green) had some fluctuations throughout the week; it declined during the week until the 18^thwhen it began to increase and ended the week at 0.31% above the baseline. Brent Oil (Black) started the week increasing but fell for the remainder of the week ending at ~2.84 below the baseline. Gold (Yellow) remained fairly steady for the week with minor drops. It ended the week at ~0.26 below the baseline.

Commodities Historical Trends

Source: Yahoo Finance and own calculations. Rates are in United States dollars per one (1) unit of goods. Brent Crude Oil is measured in barrels. Natural Gas is measured in MMBtu (Million British Thermal Units), Gold is per troy ounce, and for Nickel the price reflects price per share of (NIKL) ETF. The center line is a rolling three-month average. The upper and lower boundaries are the average plus and average minus one standard deviation, respectively, for the same three-month period.

During this week Nickle (Red)  declined, dropping below the baseline and ended on the lower bound line with a price of $13.02/share. Similarly, Brent Oil (Black) declined during the week falling below the lower bound with a price of $62.56/barrel. Gold (Yellow) fell below the upper bound and finished the week with a price of $4076.70/Troy oz. Natural Gas (Green) declined to start of the week but stayed above the upper bound. It ended the week on an increase with a price of $3.44/MMBtu

Additional Reading

Oil prices begin to fall. Russia-Ukraine peace deals hope.

Yahoo Finance article states that with a new peace agreement between Russia and Ukraine have played a role in the drop of Oil Prices. This agreement has caused expectations to rise so that there will now be an increased supply on the market. The article also stated that gold prices are slowing dropping as investors slowly begin to trust that the Federal Reserve will cut interest rates in the month of December.