The oil trading agreement reached between European and American countries and Saudi Arabia led to a sharp drop in commodity futures. The Russian-Ukrainian war caused the international oil price to continue to soar to $65,438+$0.70 per barrel, and remained at a high level for a long time. As big oil importers, European and American countries can only buy Russian oil at high prices. After the United States visited Saudi Arabia, it reached relevant oil transactions with other countries, which led European and American countries to shift their oil import targets to Saudi Arabia, while other countries reduced Russian oil imports. This is one of the important reasons leading to the collapse of commodity futures. If Saudi Arabia continues to provide a large amount of oil, the price of international oil will continue to plummet.
The collapse of commodity futures is also closely related to investors' investment trends. In the international economic market, the prices of many futures have risen from low prices to very high prices, which is why some investors who buy cheap futures choose to sell all their commodity futures. When a large number of investors throw out futures, it will naturally lead to a sharp drop in commodity futures. Investors who buy commodity futures will have a narrow profit margin and may even suffer losses. When commodity futures plummeted, no one bought them, which gradually led to an increase in commodity futures prices, and a group of new investors would choose to buy commodity futures. This is an obvious law of development.
Investors who bought cheap commodity futures did not sell them for a long time due to market reasons, which also led to the plunge of futures. For example, after buying commodity futures, some investors wait for the continuous rise of commodity futures, and in the process of waiting, they find that commodity futures have been falling. Many people have no patience to wait, so they are eager to sell all their commodity futures, which is ultimately one of the reasons for the sharp decline of commodity futures.