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Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
COMMODITIES
- After experiencing a significant appreciation (like most of the commodities) in the year following the Covid19 shock, lumber prices consolidated dramatically in the second and third quarter of this year, falling by 74% from peak to trough.
- The contraction in Chinese liquidity and the collapse of real-estate giant Evergrande were among the major drivers behind the significant correction.
- However, bullish momentum has resumed in the past two months, with lumber prices breaking above their 200DMA in today's trading session.
- With demand for lumber expected to remain robust from housing, the positive trend could continue in the near term.
- Next resistance to watch on the topside stands at 993,70, which represents the 38.2% Fibo retracement of the 431.10-1,711.20 range, followed by psychological 1,000 level.
Source: Bloomberg/MNI
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
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