ISTANBUL
Commodity markets continued to follow a mixed course amid the ongoing geopolitical risks and hawkish remarks from officials of the world’s leading central banks.
Although escalating geopolitical risks keep upward movements in the commodity prices alive, the strengthening dollar and China's lockdown measures have a dampening effect on the prices.
Analysts said while developments regarding the Russia-Ukraine war will be followed closely, new sanctions have raised inflationary concerns over energy and food prices.
Last week, a JP Morgan Chase strategist said commodities will continue their record streak, surging by as much as 40% amid rising inflation.
A giant leap pushing world food prices to a new historic high in March was also another reason for concern.
The FAO food price index jumped 12.6% month-on-month in March to hit 159.3 points, the UN body said on Friday.
Meanwhile, the dollar index exceeds 100 for the first time since May 2020, with the backing of the Fed’s hawkish monetary policy stance.
Last Wednesday, oil prices dropped after the International Energy Agency announced it is "moving ahead with a collective oil stock release of 120 million barrels.”
International benchmark Brent crude closed the week at $102.1, down 1.9% on weekly basis.
Natural gas traded on the New York Exchange gained 10.5% last week, with the rise in US liquefied natural gas (LNG) exports and the fall in production.
The ounce price of gold traded for around $1,947 at Friday's close, climbing 1.3% while silver and palladium gained 0.3% and 6.3%, respectively.
Platinum closed the week with a 1% fall.
In the over-the-counter market, copper gained 0.8%, while lead fell 0.4%, aluminum 2.8%, and zinc 0.5%.
