Due to the impact of the COVID-19 epidemic last year, most economies in the world have adopted certain loose monetary and fiscal policies, which has led to a large amount of liquidity in the entire capital market, giving these commodities an upward momentum. And for these stock markets, due to the continuous entry of these financial funds, the price of the whole stock market is also constantly pushing up, which will have a rebound impact on the whole market in such a critical period. But there are also some inflation risks, and for these commodities, they have very good anti-inflation ability, so they will have a good impetus to these commodities during the period of overheating, which will make the prices of these commodities rise a lot.
For these commodities, many of them are basic raw materials of other industries, so as the prices of other finished products rise, the prices of raw materials will also rise, and the prices of downstream raw materials will also rise. Therefore, under such circumstances, although the demand for these raw materials may increase in most economies, the demand for raw materials will gradually increase throughout the economic activities, so for these people, its overall supply has not changed much, but the demand has changed greatly, so under such circumstances.
Moreover, for these commodities, a large number of financial derivatives have pushed up these prices. There are a large number of options and futures, and the corresponding financial derivatives will also make the prices of these commodities continue to rise. And with the gradual recovery of the epidemic, these increases mentioned that the economy also resumed production at the beginning, so the demand for goods will continue to increase, and eventually the superposition of various factors will lead to the continuous rise of most prices.