PRESS ROOM
Geopolitics trade in commodities eases as tensions subside
Friday 18th February '22
Commodities that had been pricing in a geopolitical risk premium in recent weeks pulled back slightly on 15 February as news emerged that Russia may be withdrawing some troops from the Ukraine border. Several commodities including oil, natural gas, palladium, and wheat, among other, have priced in the risk of supply shortages in the event of a major conflict. If tensions subside further, price may cool down bringing the focus in these markets back to fundamentals.