The commodity market left behind a year in which volatility increased and price wavelength increased.
Due to the Russia-Ukraine war and rising energy prices, a record-breaking record was broken in commodity prices, especially in the first quarter of 2022. One of the most important reasons for this is that Russia is among the leading countries in producing energy, agricultural commodities, and metals. Rising energy costs and the sanctions imposed on Russia also played an essential role in these increases.
Restrictions and protectionist policies applied to countries’ industrial products, especially food exports, also caused sharp fluctuations.
Only geopolitical risks and concerns about supply were ineffective in the commodity market. Many products and instruments traded in the commodity market ended the year with a decline, despite seeing historical highs or 10-year highs in 2022.
