Commodities Prices

May’s fall was driven by the energy and agricultural groups. Energy prices dropped as recent OPEC+ announcements to hike crude output dented prices for both Brent and WTI oil. However, prices for most other fuels rose, with coal and natural gas experiencing supply disruptions. Agricultural prices also declined, as a robust supply outlook weighed on prices for corn, sugar and wheat. On the flip side, base metals prices regained some ground as the U.S. and China agreed to reduce their tariffs for 90 days as they work on a trade agreement. Moreover, precious metals extended April’s gains on stronger safe-haven demand, driven by Trump’s erratic policymaking and mounting concerns over the U.S. economy.

Commodities prices decreased 0.5% month on month in May, following April’s 4.9% fall.