Mitsubishi UFJ: U.S. rate cut imminent, commodities expected to Rebound

GoldenOctober2024

On August 1st, Mitsubishi UFJ analysts Ehsan Khoman and Soojin Kim stated that as the market approaches the long-awaited U.S. rate cut, investors’ interest in commodities will rebound. Commodities are currently the worst-performing cross-asset class of 2024. This is partly due to weakening fundamentals: global economic growth data slowed in the second quarter, and uncertainty in the U.S. political situation rose. However, low interest rates in a non-recessionary environment have historically been favorable for commodities, and the start of the Fed’s rate cut cycle (currently expected to begin in September) is expected to boost this complex situation.

Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to Disclaimer.
Comment
0/400
No comments