China Macroeconomics & Academia

Christopher Balding

Macroeconomics

<p>Commodity markets are relatively calm at the moment.  What is important to watch as we have noted in regards to steel, but in reality appears to be a pending loosening in the market. We see this reflected in earlier data about new starts and construction. In this regard it is credit that appears to be loosening which could push these prices higher regardless of fundamentals. A calm market and easy credit to mean a marked shift in the commodities market.</p>

Commodity markets are relatively calm at the moment.  What is important to watch as we have noted in regards to steel, but in reality appears to be a pending loosening in the market. We see this reflected in earlier data about new starts and construction. In this regard it is credit that appears to be loosening which could push these prices higher regardless of fundamentals. A calm market and easy credit to mean a marked shift in the commodities market.

Chinese Commodity Prices Managed Stability But Look for Growth If Credit Grows