The latest quarterly report on commodities market outlook released by the world bank in October 26th shows that commodity prices, including energy and agricultural products, are expected to rise next year.
The report said that due to the global demand remains stable, the organization of Petroleum Exporting Countries (OPEC) and other producers at the production agreement, international crude oil prices this year is expected to rise by 23.8% compared to 2016 to an average of $53 a barrel, lower than the April forecast of $55.
The report predicts that crude oil prices will rise 5.7% to $56 per barrel next year. The report said that although the U.S. shale oil production has rebounded, but the demand for crude oil, OPEC and other oil producing countries to limit production and other factors will drive crude oil prices rebound next year.
The World Bank expects the price of energy commodities, including gas and coal, to grow by 23.7% this year, and will slow down to 4% next year, which is down from its forecast in April.
The World Bank expects metal prices to rise by 22.4% this year, and will fall by 0.7% next year. The world bank pointed out that the demand situation of China's market will affect the trend of global metal prices in the future.
The price of agricultural products is expected to drop by 0.6% this year, and will rise by 1.2% next year. Among them, grain prices will decline by 0.2% this year, but will rise by 1.9% next year. The report says that adequate supply will constrain the price of agricultural products to rise further.