FIBER: Industrial Commodity Prices Rise in Latest Four Weeks
by:Tom Moeller
|in:Economy in Brief
Summary
- Metals & lumber prices strengthen.
- Textile costs increase.
- Crude oil prices are little changed.
The Industrial Materials Price Index from the Foundation for International Business and Economic Research (FIBER) rose 1.2% (-3.3% y/y) during the four weeks ended January 5, 2024, adding to the 0.9% gain at the end of December. The index remained 23.0% below the cycle peak in the second week of March 2022.
Metals group prices increased 2.5% (-4.2% y/y) over the most recent four weeks. Aluminum prices rose 7.7% (-0.6% y/y) and zinc prices improved 6.0% (-14.0% y/y). Tin prices strengthened 4.8% but were unchanged y/y. Copper prices increased 1.0% (0.8% y/y). To the downside, the cost of steel scrap declined 1.8% (+2.0% y/y) while lead prices weakened 1.0% (-12.7% y/y) in four weeks.
Prices in the miscellaneous group moved 1.1% higher during the last four weeks, but were down 6.4% y/y. Rubber prices rose 7.8%, up 12.6% y/y, while the cost of framing lumber rose 4.0% (-1.9% y/y).
Prices in the crude oil & benzene group gained 0.7% (1.0% y/y) in the last four weeks. The cost of West Texas Intermediate crude oil rose 0.2% in four weeks to $71.72 per barrel, down 5.5% y/y. The price of the petro-chemical benzene, used for making plastics & synthetic fibers, increased 3.4% (17.6% y/y) in four weeks. Excluding crude oil & benzene, the industrial commodity price index rose 1.3% (-3.1% y/y) in the latest four-week period.
Prices in the textile group edged 0.4% higher (-0.9% y/y) in the latest four-week period. Cotton prices improved 0.9% (-5.9% y/y) and the cost of burlap gained 2.1% (0.9% y/y) over the last four weeks.
The Foundation for International Business and Economic Research (FIBER) develops economic measurement techniques as applied to business cycles and inflation in the U.S. and other market economies. The commodity price data can be found in Haver's DAILY, WEEKLY, USECON and CMDTY databases.
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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