Commodity Blog

Posts Tagged ‘CNBC’

In this interview, Jonathan Barratt of Commodity Broking Services Pty Ltd talks about how wheat has already reached its highest levels for the years as the funds were guided by the fear of droughts, lack of export and other speculative drivers. Meanwhile the real fundamentals suggest that the wheat shouldn’t be appreciating as it has been doing before.

The presented video features Jonathan Barratt, managing director at Commodity Broking Services, answering some gold-related questions on CNBC. There’s a doubt that the gold as a commodity is no longer playing its role as an inflation fighter and remains mainly a speculative market instrument. Jonathan suggests that now it’s maybe already quite late to enter into the long gold positions and that the traders and investors should be cautious about this commodity. He also says that there are other commodities which are more undervalued compared to gold.

Some commodity traders are confident in the long-term oil growing prices and believe that such growth is inevitable as the oil supply is going to diminish, while the demand from world’s biggest emerging economies (like China) is going to rise. Charles MacKinnon in his interview to CNBC explains how this scenario may not be the only probable result of the events. It’s highly probably, but also a decline of oil is possible in case of the global demand slump, which could be a result of another recessive wave on the financial markets.