Most commodity prices have fallen in the last week or so following the identification of Omicron – a new, and potentially more transmissible, strain of COVID-19. However, while commentary has generally focused on the effects that the new strain and associated lockdown measures may have on commodity demand, less attention has been paid to the implications for supply. After all, OPEC+ has left the door open to a change in output quotas before the group’s next meeting in early January. And, at a time of already declining stocks of industrial metals, there is a risk that the new variant prompts closures of major smelters and mines. As a result, we are leaving our price forecasts broadly unchanged for now.
In view of the wider interest, we are also sending this Commodities Overview Chart Book to clients of our Energy and Metals Service.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services