Much of market uncertainty from this year could carry forward into 2023. The Russia-Ukraine war is still on, the rising COVID-19 cases in China are impacting the global commodity demand, the aggressive rate hikes from central banks and the US dollar moves have all impacted the asset classes. But what are the signs that one needs to watch out for to make one’s portfolio allocations in the New Year? In a CNBC-TV18 special show, Commodity Champions, Ole Hansen, Head of Commodity Strategies at Saxobank said that his main focus is primarily on the metal space.
While sharing his strategies to trade commodities in 2023, he said, “Both the industrial and precious metals — we are seeing a recovery eventually.”
“We have multiple uncertainties as we start 2023 and that will drive some volatility but 2022 has most certainly been the year where commodities has made a comeback in terms of how it has been perceived by consumers and people around the world,” he said.
He added that it has certainly become a year where everyone has become accustomed to the fact that supplies are tight in key commodities and that creates this volatility spikes that is being witnessed.
Edward Morse, MD and Head of Commodities Research at Citi, also shared his views on what will 2023 look like for the commodities space and the key events one should watch out for while planning a portfolio.
For the entire discussion, watch the accompanying video