Commodity prices down in November, grains and oil lower

HONG KONG - Global commodity prices fell in November, with HSBC’s proxy for the IMF primary commodity price index 2.0% lower in USD terms in the month and broadly unchanged y-o-y. Oil prices were the key drag on the index, HSBC says, falling by 2.7%. Agricultural commodities were generally lower, as improving global supply continues to weigh on prices.

Metals prices generally fell, though iron ore prices managed to rise. Australia's commodity prices fell 0.5% in USD terms but rose 1.5% in AUD terms. Despite remaining high, the stability of commodity prices over the past year is a key factor depressing inflation in Asia, the bank says. www.hsbc.com (ATI).