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During the financial meltdown of 2008, we saw a sharp sell off of commodity prices. As the year 2009 began, countries around the world had stockpiles of raw commodities such as oil, iron ore and copper. Then, during the second half of 2009, developing countries saw their economies surge with new growth. This, in turn, sparked renewed demand for basic commodities.
Now, as we enter 2010, the continued demand from developing countries is expected to continue, putting pressure of commodity prices. Scarcity of any commodity or product is the determining factor in the price. Oil, for example, traded at $80.00 per barrel last week.
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