Commodity markets struggle with tariff pressure and supply concerns

Vietnam Commodity Exchange said that the world raw material market recorded clear differentiation.

At the close of trading, the MXV-Index was almost flat, remaining around 2,213 points.

Energy commodity market in red. Source: MXV

Red covers the energy market as concerns surrounding the White House's tariff policies remain.

The prices of both crude oil products decreased by more than 2%. Specifically, Brent oil price fell below the threshold of 70 USD/barrel, stopping at 68.64 USD/barrel, corresponding to a decrease of 2.21%. Meanwhile, WTI oil price decreased by 2.65%, falling to 66.57 USD/barrel.

Expectations that the US Federal Reserve (FED) will soon lower its base interest rate are also gradually becoming more distant.

Besides, oil prices continue to be under pressure from the possibility of increased supply from the OPEC+ group.

Metal commodity market is on the rise. Source: MXV

On the other hand, the metal market witnessed the prices of 9/10 commodities simultaneously improving. Of which, the price of iron ore jumped 3% to 99 USD/ton, marking the third consecutive increase.

In recent trading sessions, iron ore prices have recorded a recovery trend as the market is concerned about the risk of short-term supply disruptions.

The cause comes from the complicated stormy weather situation in China, especially the impact of storm Danas, which potentially affects the transportation of iron ore for steel production in this country in the coming time.

Meanwhile, according to data from analysis units, China's iron ore import demand in June is estimated at 110 million tons, recording the highest level since the beginning of the year and increasing sharply by 13% compared to 97.4 million tons in the same period last year.

A combination of adverse weather factors along with strong demand for iron ore imports has created short-term support for iron ore prices.

Source: https://hanoimoi.vn/thi-truong-hang-hoa-giang-co-truoc-ap-luc-thue-quan-va-lo-ngai-nguon-cung-708757.html