Bloomberg reported nickel and other metals are expected to increase on higher demand in China as the country’s consumption shifts based on a Barclays analysis.
As quoted in the market news:
Aluminum, nickel, palladium and gold may benefit from China’s shift toward consumption-driven growth from an economy fueled by investment, while agricultural products are set to lag behind, according to Barclays Capital.
Commodities with so-called strong links to rising living standards and changing tastes such as coffee stand to gain from the transformation, analysts led by Kevin Norrish wrote in a report dated yesterday. The growth in demand for steel, copper and zinc may slow as their intensity of use drops, they said.