Wall Street Eyes New Record Highs For Commodities In 2024 – Are You Ready?

Commodities Poised for a Historic Run in 2024

This is now the third consecutive year that has seen a total of 27 commodities ranging from the metals, energies to agriculture tallying up astronomical double to triple digit gains – outperforming every other asset class out there!

According Goldman Sachs, the macroeconomic backdrop for Commodities in 2024 is looking more bullish than ever before – ultimately indicating that we could be on the verge of another blockbuster year ahead.

In a note to clients, the bank’s analysts wrote “the setup for Commodities in 2024 is more bullish than it has ever been since they first highlighted the Supercycle in late 2020”. The Wall Street bank concluded by reconfirming their view that “we’re still only at the first inning of a multi-year, potentially decade-long Commodities Supercycle”.

In fact right now, we are beginning to see more and more of the world’s most powerful Wall Street banks releasing their 2024 forecasts – with “extremely bullish” calls for Commodity prices to hit fresh record highs in the year ahead – fuelled by multitude of factors including a peak in the U.S dollar as well as the long-awaited “pivot” away from aggressive interest rate hikes to bigger-than-expected rate cuts next year.

Last week, following months of elusiveness – Federal Reserve Chair Jerome Powell gifted Commodity traders with an early Christmas bonus – after delivering his clearest message yet, that the central bank is done with its aggressive hiking campaign and will start cutting interest rates in 2024.

And they may not be alone.

Global Central Banks’ Race to Cut Rates

More than 60 central banks around the world are expected to join the global race to cut interest rates as early as the first quarter of 2024.

In other words, the Federal Reserve and its global central-banking peers have given a green light for Commodities to continue their upward surge – paving a way for prices to notch new all-time record highs in the months ahead. That’s welcoming news for the bulls, but painful for anyone sitting on the sidelines, who must now decide how much FOMO they can handle.

As traders know – “the bigger the rate cut, the bigger the rally in Commodities”.

If history is anything to go by, then this new shift in narrative almost certainty sets the stage for Commodities to retain their well-earned status as the best performing asset class once again in 2024!

Commodity Price Forecast

Where are prices heading next? Watch The Commodity Report now, for my latest price forecasts and predictions: