World Bank Anticipates Notable Dip in Metal Prices

All metal prices remained higher, especially tin and iron ore.

SEATTLE (Scrap Monster): The latest Commodity Markets Outlook Report published by the World Bank predicts significant decline in metal prices in the near future. The prices are projected to fall by 8% in 2023, followed by a further 3% decline next year.

The report noted that the global commodity prices have registered sharp decline over the past six-month period. During the first quarter of 2023 alone, the prices fell by nearly 14%. By the end of March 2022, they were almost 30% down from the historic peak recorded in June last year.

During the initial quarter of 2023, the metals and minerals price index surged 10%, triggered by hopes of strong demand recovery in China and anticipated improvement in global growth prospects. All metal prices remained higher, especially tin and iron ore. Incidentally, the iron ore prices continue to remain firm, supported by rising demand from Chinese steel sector, the report said.

The report predicts aluminum prices to fall by 11% in 2023, driven by recovery in production. The copper prices are expected to fall by 4% in 2023 and by a further 6% in 2024, on improvement in supply conditions. Also, nickel and zinc prices are forecast to dip by 15% and 20% respectively during the current year.

Metal prices are poised to register decline, due to weal global demand and improved supply conditions, said Valerie Mercer-Blackman, Lead Economist in the World Bank’s Prospects Group.

YOU MAY ALSO BE INTERESTED IN:

Nickel Prices Grow Last Week on Supply Tightness

Copper Price to Surge to Record High This Year, Trafigura Forecasts