1. Hello Guest Click here to check FX Binary Point Financial Directory

Underweight on commodities – Goldman Sachs

Discussion in 'Fundamental Analysis' started by FXStreet_Team, Dec 24, 2015.

  1. FXStreet_Team

    FXStreet_Team Well-Known Member Trader

    Oct 7, 2015
    Likes Received:
    FXStreet (Delhi) – Research Team at Goldman Sachs, remains underweight commodities due to near-term downside potential, in particular for oil prices.

    Key Quotes

    “As demand weakness over 2015 has compounded the oversupply associated with transitioning into a new exploitation phase of the commodity supply cycle. In the near term, we see risk of reaching storage capacity in the oil market – which could force spot prices to cash costs of around $20/bbl. But over a longer horizon, we remain more optimistic and see a higher sequential allocation to commodities in or by 2017, in line with our economists’ more upbeat 2016-18 GDP forecasts.”
    For more information, read our latest forex news.

Share This Page