EIU: Hard Commodity Prices To Rise Sharply In '02, '03
story.news.yahoo.com
Wed Mar 27,11:00 PM ET
SINGAPORE , March 28 (Dow Jones) - Prices of industrial raw materials will recover sharply in 2002 and 2003, reflecting the generally improved global economic outlook, the London -based Economist Intelligence Unit said in a press release late Wednesday.
"Fibers and natural rubber will be the chief beneficiaries of 2002's turnaround, although base metals, particularly copper, lead and nickel, will also return to growth," Matt Parry, commodities editor at the EIU said. Crude oil prices, however, will buck the trend. Prices are expected to stabilize in 2002 with the annual average prices forecast to be down 20% on 2001. The recovery in the industrial raw material prices will gather momentum in 2003, led partly by recovering natural rubber prices, but base metals and to a lesser extent, fiber prices, will also improve, the EIU said. Within the base metals index, tin, zinc and copper will lead the recovery, while nickel will move against the upward trend. Crude oil prices will also increase in 2003 on strengthening demand, the EIU said. |
