Plunging oil prices ultimately grease a commodity countries wheels
Lower oil and fuel prices ultimately boost disposable incomes and food demand In a year of unprecedented events, this week commodity markets added another to the list. West Texas Intermediate (WTI) oil prices traded in negative territory on Tuesday for the first time ever. Already reeling from plunging prices over 2020, WTI oil prices traded as low as -$US40/barrel at one stage. The fall over 2020 owes to the COVID-19-induced collapse in global demand, while major producers also failed to agree on supply cuts…
How does the market crash in oil prices affect South American agriculture
How does the market crash in oil prices affect South American agriculture I have been trying to get my head around the medium to long-term effects of lower oil prices on agriculture. Who would have thought only six months ago we would have oil prices sub-USD 57 dollars per barrel. Now it seems this could last one year or more, which means it will affect the total food and distribution chain. Many companies will try and resist a lowering of consumer prices but in a globalized world this will only work for a…
