CyclOpe Index Forecasts Decline in Industrial Commodity Prices for 2024

According to the latest CyclOpe index, global prices for industrial commodities are expected to continue their downward trend in 2024, with notable exceptions like uranium, copper, and aluminum. In 2023, the index, which aggregates price changes for the world's main listed commodities, recorded a 14 percentage point decrease from the previous year.

Key Trends in Metals Market

- The dip in prices for commodities like nickel and coal is largely attributed to the global economic slowdown over the past two years.

- Strategic battery metals such as nickel, lithium, and cobalt are likely to remain bearish. However, copper is expected to defy this trend, potentially reaching $10,000 per ton during the year.

- Uranium prices are forecasted to rise in 2024, driven by the nuclear revival and increasing geopolitical concerns.

Market Dynamics and Challenges

- The demand for strategic metals has not fully materialized, except for copper, which is anticipated to become increasingly vital in the coming years.

- Indonesian nickel production's rapid expansion has contributed to the fall in nickel prices, while lithium and cobalt demands were lower than expected in 2023.

- Coal prices, which saw a sharp decline in 2023, are projected to continue their downward trajectory due to reduced purchasing in Europe and possibly China.