The banking sector turmoil that has spilled into energy and metal markets is likely to be limited in duration with only minimal damage to the wider economy, according to some of the world’s biggest commodity traders.
Sebastian Barrack, head of commodities at Citadel, the world’s most successful hedge fund that at times invests heavily in energy and agriculture markets, said the impact was likely to be contained with fundamentals reasserting themselves once the immediate panic passed.
“There is emotion and fear, which can drive markets in the short term,” he said on Monday on the sidelines of the FT Commodities Global Summit.
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