Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Determine whether each scenario could have a bearish (lower prices), bullish (raise prices), or neutral impact on the commodity price. 1.Weather - US forecasts for

Determine whether each scenario could have a "bearish" (lower prices), "bullish" (raise prices), or neutral impact on the commodity price.

1.Weather - US forecasts for September call for high temperatures in the Northeast. (Bearish, Bullish, Neutral)

2.Domestic Economy - The Dow Jones Industrial Average fell 500 points today. (Bearish, Bullish, Neutral)

3.Global Economy - The European Central Bank (ECB) loans money to a struggling Greece. And, China sees a large increase in exported goods. (Bearish, Bullish, Neutral)

4.Currency - The US Dollar traded lower against the British Pound and Japanese Yen today. (Bearish, Bullish, Neutral)

5.Geo-Political Situations - ISIS has attacked and destroyed an oil refinery in Iraq while Saudi Arabia continues to increase the supply at lower price. (Bearish, Bullish, Neutral )

6.Cross-Commodity Markets - the "peak" summer driving period is about to start and Americans are expected to drive 10% more miles than last summer due to lower gasoline prices. (Bearish, Bullish, Neutral)

7.Changes in Inventory - The Energy Information Agency's Weekly Crude & Distillates Report showed that 1.5 million barrels of oil were added to the nation's storage facilities last week. (Bearish, Bullish, Neutral)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Microeconomics

Authors: Roger A. Arnold

12th Edition

1285738306, 978-1285738307

More Books

Students also viewed these Economics questions