Tag Archives: commodities

July 9, 2014

MIFID position limits: size matters

For European regulators, beginning work on a methodology for calculating commodity derivatives position limits must feel like entering a rabbit hole, where each turn leads to more choices and more tunnels, each leading further and further into the depths of the warren. To give that [&hellip…

January 22, 2014

Rain falls, crops increase; prices fall, then what?

For agriculture commodities, droughts mean no water, no crops, and price increases driven by scarcity. That was the scenario in 2012 in the US with drought-ravaged corn production. 2013 was another story.  The Wall Street Journal reported  that thanks to good weather conditions, “production in [&hellip…

August 19, 2013

China’s commodity slowdown chills prices

Renowned economist Daniel Yergin recently had an opinion piece, China’s Big Commodity Chill, in The Wall Street Journal that’s worth a read for anyone who wants to know what really drives price changes. You may know Yergin from his book The Prize: The Epic Quest [&hellip…

July 23, 2013

Research confirms the fundamental(s) truth

Has “financialization” of commodities put undue pressure on prices? Has the creation of investment products linked to commodities indices made the grocery basket more expensive? A task force from the Centre for European Policy Studies (CEPS) and the European Capital Markets Institute (ECMI) has just [&hellip…

June 14, 2013

Your daily bread cost more in the 1950s than today

A post on The Economist website this week brought to our attention a new paper by David Jacks, an economist at Simon Fraser University in Canada. Prof. Jacks has piqued our interest before with a paper called Populists versus theorists: Futures markets and the volatility [&hellip…

April 5, 2013

Swiss commodities report as reliable as clockwork

The Swiss government’s departments of Foreign Affairs (FDFA), Finance (FDF) and Economic Affairs, Education and Research (EAER) published a fascinating report recently on the commodities sector. While the report underscores the significance of the commodities industry for Switzerland – we are talking about an industry [&hellip…