BENGALURU: US bank Goldman Sachs expects commodities to rally another 13.5 percent over the next six months on a worldwide reversal of coronavirus curbs, lower interest rates and a weaker dollar, its commodities research team said on Wednesday.
The bank now sees Brent prices rising to $80 a barrel and US West Texas Intermediate (WTI) prices to $77 a barrel over the six month period.
“We expect the biggest jump in oil demand ever, a 5.2 million barrels per day (bpd) rise over the next six months,” Goldman said, citing acceleration of vaccinations in Europe and an unleashing of pent-up travel demand.
The easing of international travel restrictions in May will lead global jet demand to recover by 1.5 million bpd, it said.
The bank sees gold prices at $2,000 an ounce over the next six months and said it is too early for Bitcoin to compete with gold for safe haven demand, adding that the two can co-exist.
“While Bitcoin benefits from greater liquidity, it suffers from lack of real use and weak environmental, social, governance (ESG) scoring, due to its high energy consumption,” it said.
Such extensive energy use made the cryptocurrency vulnerable to losing its “store of value” demand to another, better-designed contender, it added.
Goldman also upgraded its copper price forecast, setting a 12-month target of $11,000 per ton, citing an under-invested supply side.
“The only way this record-sized and fast approaching supply crunch can be solved is via a surge in price to new record highs,” the bank said.
While China will maintain its major role in commodity demand, the bank added, it is not expected to be the only major source of growth in the coming decade.
Goldman sees oil at $80-a-barrel on biggest demand jump ever
https://arab.news/pzmdk
Goldman sees oil at $80-a-barrel on biggest demand jump ever
- Easing of travel restrictions to spur jet fuel demand
- Copper could hit $11,000 per ton
CEO of World Economic Forum quits after Epstein ties scrutinized
- Norwegian had been WEF president since 2017
- Brende has said he was unaware of Epstein’s criminal past
- WEF’s Alois Zwinggi will serve as interim president and CEO
ZURICH: The president and CEO of the World Economic Forum, Borge Brende, said he was stepping down on Thursday, a few weeks after the forum launched an independent investigation into his relationship with sex offender Jeffrey Epstein.
Brende, who became president of the WEF in 2017, announced his decision in a statement following disclosures from the US Justice Department that showed the Norwegian had three business dinners with Epstein and had also communicated with the disgraced financier via email and text message.
“After careful consideration, I have decided to step down as President and CEO of the World Economic Forum. My time here, spanning 8-1/2 years, has been profoundly rewarding,” Brende said. The statement made no mention of Epstein.
“I am grateful for the incredible collaboration with my colleagues, partners, and constituents, and I believe now is the right moment for the Forum to continue its important work without distractions,” added Brende, a former Norwegian foreign minister.
Brende has said he was unaware of Epstein’s past and criminal activities before first meeting him in 2018, and that he regretted not having investigated him more thoroughly.
Brende’s decision to quit follows a series of revelations relating to Epstein, who in 2008 was convicted of soliciting prostitution from a minor. The revelations have roiled business and political elites, and even the British royal family.
Independent review
In a separate statement, Andre Hoffmann and Larry Fink, co-chairs of the Geneva-based forum that organizes the annual Davos summit, said the independent review conducted by outside counsel into Brende’s ties with Epstein had concluded.
The findings stated there were no additional concerns beyond what has been previously disclosed, it added.
The co-chairs said the WEF’s Alois Zwinggi will serve as interim president and CEO, and that the forum’s Board of Trustees will oversee the leadership transition, including a plan to drive a process to identify a permanent successor.
The US Justice Department has released more than 3 million pages of documents relating to Epstein, who died by suicide in jail in 2019 while awaiting trial on federal sex-trafficking charges.
His ties to a long list of business and political leaders, including US President Donald Trump, former President Bill Clinton and Tesla CEO Elon Musk are under close scrutiny.
Overseas, the revelations have prompted criminal investigations of Britain’s Andrew Mountbatten-Windsor, the former Duke of York, and other prominent figures.
