2016 Shanghai Advanced Institute of

Finance
International Youth Leadership Finance
Summit

National ChengChi University

Wu, Tsung-Mao

Hung, Yi-Hsiu

Wang, Wei-Chih

Shen, Chih-An

CO

Introduction to Bulk
Commodity

NT
EN

Relations between Bulk Commodit

Price and Inflation in China

TS

Influence of Bulk Commodity

on Chinese Economy

Suggestion on Maintaining Bulk

Commodity Price Stability
2

Introduction to Bulk Commodity

Basic Info

Prediction Effect

Bulk Commodity
Primary
Commodity

Energy Commodity

Crop Commodity

Ore Commodity

Raw or Unprocessed Material

Influential to the Economy
4

Prediction Effect

e: Bureau of Labor Statistics, Electronic Industries Association

Connection between Commodity

Price and Inflation in China
Demand and
Dependence

CRB v.s. Inflation

indices
6

Major Commodity Importer

Source: Worlds Top Exports

Major Commodity Importer

Cotton

Rice

China
Bangladesh

China

Vietnam

United States

Turkey

Iran

Hong Kong

United Arab
Emirates

Indonesia

Iraq

South Korea

Crude Oil

Saudi Arabia

United Kingdom

Italy

Malaysia

Others

Others

China
United States

Iron Ore

China
Japan

India

South Korea

South Korea

Germany

Japan

Netherlands

Germany

Taiwan

Netherlands

France

Spain

Turkey

Others

8Others

High Dependence
(%)
90

85.2%

85
80

83.5%

75
70
65

59.7%

60
55
50

Soybean
Iron Ore
Crude Oil

45
40
2008

2009

2010

2011

2012

2013

e: General Administration of Customs of Peoples Republic of China

2014

2015

Source: TradingEconomics

CRB v.s. Inflation indices

CRB Index: Commodity Research Bureau Index,

global benchmark for measuring commodity price movement

10

Influence of Bulk Commodity

on Chinese Economy

11

How It Works

12

Price
Fluctuation
and
Inflatio
13

Suggestion on Maintaining Bulk

Commodity Price Stability

14

Suggestions
Restructure
domestic
supply
and
demand

Establish
Sound
Financial
market

Establish bulk market

monitoring
and
early warning
mechanism

RMB
Globalization
15

Created by Nikita Kozin

from the Noun Project

Icons Credit to:

Created by Tong Chalita
from the Noun Project
Created by Aime Ferreira
from the Noun Project
Created by jackie
from the Noun Project
Created by Andres Arenas
from the Noun Project

Created by Creative Stall

from the Noun Project
Created by Edward Boatman
from the Noun Project

Created by Icon Island

from the Noun Project
Created by Icon Fair
from the Noun Project

Than
k you
16