Skip to main content

Industrial metals prices to fall from current highs

Although we anticipate a strong global economic recovery in 2021, our forecast of a slowdown in China’s economy means that we still expect industrial metals prices to end the year lower. At the same time, a stronger US dollar and rising US Treasury yields, in both real and nominal terms, will weigh on the prices of all metals, but particularly gold. Admittedly, we expect investor risk appetite to remain high and equity markets to do well, but a stronger dollar and higher yields should mean that investors’ appetite for non-interest-bearing commodity assets will wane.

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

Get access