Commodity market seeks direction amid various challenges


(MENAFN) The commodity market experienced a quest for direction throughout the past week. Expectations that the hawkish policies of the US Federal Reserve had concluded and the ongoing decline in global demand for the dollar provided support to the commodity market.

The dollar index continued its downward trajectory for the third consecutive week, closing at 103.2, representing a 0.2 percent decline by the end of the previous week.

Concerns about the Chinese economy heightened selling pressure in the commodity market, particularly impacting base metals. Factors such as production-related forecasts and weather conditions also played significant roles in influencing agricultural commodities.

Gold marked a notable performance, concluding the previous week with a 3.4 percent increase at USD 2071.51 per ounce and setting a new record at USD 2145.12 on the first trading day of the current week.

During the past week, silver gained 4.6 percent, while platinum saw a marginal increase of 0.3 percent. In contrast, palladium experienced a loss of 6.5 percent.

In the over-the-counter market, copper and nickel demonstrated positive trends with gains of 2.3 percent and 4.1 percent, respectively. Conversely, lead declined by 4.4 percent, aluminum by 1.4 percent, and zinc by 3.1 percent.

On the Chicago Mercantile Exchange, wheat, corn, and soybeans observed increases of 4.4 percent, 0.5 percent, and 0.5 percent, respectively, while rice witnessed a decline of 1.7 percent.

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