According to Bank of America Merill Lynch, supply-demand forecast suggests crude oil market is expected to witness a deficit of 1.6 million barrels a day this year. Meanwhile, crude production is expected to rebound this year by 6.3 million barrels a day after it fell by 9 million barrels per day.
Precious metal prices are also lower year-to-date (YTD) as gold is down 5 percent, but it recovered on Friday from more than a two-month low hit in Thursday’s session. Silver is also down half a percent this week.
Among the base metals, both copper and metal have fallen YTD by over a percent each while nickel and lead are up by more than 7 percent.
To discuss the expectations for 2021 in the commodities market, CNBC-TV18’s Manisha Gupta spoke to Edward Morse, Global Head of Commodities Research at Citigroup and Francisco Blanch, Head-Global Commodities at Bank of America Merill Lynch.Watch video for more.