Baku. 6 August. REPORT.AZ/ Prices on the global commodity markets have fallen to the level observed during the last global crisis in 2008.
In October 2008, the bankruptcy of US bank Lehman Brothers Holdings was the beginning of the global financial crisis.Despite the fact that it has been 7 years, 18 of the 22 components of the Commodity Index, calculated by the agency Bloomberg (Bloomberg Commodity Index), fell by at least 20% from their highs.
Report informs, the financial crisis of Lehman Brothers Holdings has caused a deep depression in global markets. Now the world economy threatened by the strengthening of the US dollar and the slowdown in the Chinese economy. These factors combined with the global overproduction determine the current bear market. Thus, only four of the 22 components of the Bloomberg Commodity Index managed to stay afloat. This corn, natural gas, wheat and cattle. Current prices of these components retain due to the bad weather conditions and disruptions in food supply.
Hedge funds are becoming more pessimistic, predicting the fall of commodity prices in the remainder of the current year.Financial managers foresee at this time even more significant drop in prices for oil and gold - two of the three components of the Bloomberg Commodity Index, having the greatest weight.