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So, now we will be talking about commodity market.

First of all let us


understand what commodity market means. A commodity market is a market
that trades in the primary economic sector rather than manufactured
products, such as cocoa, fruit and sugar. Primary economic sector includes
agricultural products, industrial and precious metals like copper, gold, platinum
etc, oil.
Commodities can further be split into two broad categories: hard and soft
commodities. Hard commodities include natural resources that must be mined
or extracted—such as gold, oil whereas soft commodities are agricultural
products or livestock—such as corn, wheat etc.
Coming onto next slide, we will be seeing impact of covid 19 on commodities
market. Due to outburst of covid 19, the prices of commodities stated above
had a huge impact on them. The demand and as well as supply of
commodities, both were affected badly. The commodity whose prices had
fallen down drastically due to this pandemic situation is oil markets. The
reason being heavy restrictions on travelling due to lockdown and fear, further
leading to downfall in demand for oil, thus resulting in steepest one-month
decline in oil prices on record. Even metal prices have fallen down but less in
comparison of oil prices. Agricultural prices didn’t get that much affected but
cereals, pulses, milk etc faced ups and downs in their prices,given their indirect
relationship with economic activity. 
Thank you Sumit. I would like to conclude by saying that The current pandemic
particularly stands out for the speed and magnitude of the decline in both oil
prices to falling down to 40 and 50 % and further oil demand resulting from the
sudden stop in activities. Coming onto metals, even they have faced reduction
in prices and if the pandemic continues and the economic recession deepens,
larger declines in demand and prices are possible.
Thank you.

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