Copper stockpiles will fall to a record low in the third quarter as demand outpaces supply and China, the world’s biggest consumer of the metal, resumes buying, according to Barclays Capital.
Crude oil and grains will be the top commodity performers this year as investors bet on supply disruptions, a Barclays Capital survey showed.
Gold will exceed $2,000 an ounce as the economic crisis in Europe boosts investor demand for a haven, said Kevin Norrish, managing director of commodities research at Barclays Capital in London.
Nickel, the worst performing base metal this year, offers investors the best opportunity for advances in early 2014 as Indonesia is poised to halt the export of mineral ores, according to Barclays Plc.
The recent surge in grain and soybeans may spur a “third wave” of food inflation, following global price shocks that incited civil unrest in developing countries in 2008 and 2011, Barclays Plc said.
A year after Citigroup Inc. declared the decade-long run of commodity gains over, wacky weather, dead piglets and Vladimir Putin have gotten in the way.
"We have had disappointing growth data."
- Kevin Norrish on Sep 11, 2014