Raw materials, including oil and copper are at risk of falling heavily. Recent growth has lacked a real fundamental soil - Barclays analysts believe - on AMarkets materials.
The forecast is as follows: copper dropped to a low of $ 4,000 per metric ton from $ 4945 (the level of the end of last week). Oil may fall to a low of $ 30 per barrel. Now a significant number of players seek to liquidate their long positions in raw materials - and quickly and in unison. The implications for commodity assets may be the most pitiable.
At the start of 2016 a group of raw material assets has been the best asset class in terms of growth performance. However, in the second quarter similar growth should not wait - there is no reason for it, and investors are beginning to realize it. In the 3rd quarter of 2015. raw materials fell by 14% and 11% in the 4th quarter. At the beginning of 2016 the situation began to improve - investors have invested $ 20 billion in January and February. And now, the players realized his blunder and began to actively reset commodity assets.