Barclays’ views commodities outlook “shaky”, despite inflows

Investors have poured over $50 billion (€45 billion) into commodities so far this year but Barclays still views the market as a “shaky one”. Reasons cited by the bank for this pessimistic outlook include further monetary easing by the world’s central banks, which is unlikely to support global commodity demand or prices over the medium term. However, the bank does view that the current decline in oil prices may boost demand from countries outside of the Organisation for Economic Co-operation and Development group of nations. Furthermore, Barclays’ views that a weakening dollar and lower refined products prices are features of the current commodities downturn but should also spur emerging market oil demand over the next six months. Barclays predicts that Brent oil prices should reach $45 a barrel by the third quarter, rising to $50 a barrel by Q4. The bank is also fairly bullish on natural gas, it is looking at pipeline infrastructure supporting export volumes. Currently exports to Mexico have reached four billion cubic feet per day. ©2016 funds europe

Sponsored Profiles

SPONSORED FEATURE: Investing for income

May 17, 2017

Portfolio Manager Thomas Kruse examines the findings from Pioneer Investments’ survey on income investing and outlines ways of achieving a target income.

SPONSORED ARTICLE: A radical solution to KYC concerns

May 17, 2017

The 1MDB affair shows that lax know-your-customer and due-diligence procedures are a major risk, says Paolo Brignardello, head of product management and marketing, Fundsquare. New solutions are...

SPONSORED FEATURE: AIFMD - What does Brexit mean?

Apr 18, 2017

An open discussion between funds industry experts and initiated by SGG Luxembourg took place in London to examine  the implications of Brexit for UK fund managers marketing to the EU.

SPONSORED FEATURE: Luxembourg fund reporting – CRS vs FATCA

Apr 18, 2017

Luxembourg funds need clear procedures for CRS compliance, writes Andrew Knight, Partner at M Partners, a member of the Maitland network of law firms.

Executive Interviews

INTERVIEW: Finding managers that can (and do)

Apr 18, 2017

Fabrice Kremer, a fund selector at Banque de Luxembourg Investments, has berated fundamental managers for failing to beat indices, but he remains committed to active funds. He speaks to Nick...

JERSEY INTERVIEW: ‘A steady sort of place’

Mar 21, 2017

The chief executive of Jersey Finance is keen to portray the island as a stable, trustworthy jurisdiction. He talks to George Mitton.

Roundtables

MARKETING & BRANDING ROUNDTABLE: It’s about aspiration

May 17, 2017

With such an intangible product, it can be hard for asset managers to communicate what they do. Having personality and connecting with customer aspirations may be the key, our branding roundtable hears.

ROUNDTABLE: The issue is perception

Mar 21, 2017

Our panel discuss tax transparency, the elegance of private placement and why Jersey could do more to promote itself. Chaired by Tom Cowsill in Saint Helier.