World Bank Predicts 6-Year Low in Global Commodity Prices Due to Oil Glut

The World Bank forecasts a significant drop in commodity prices, with a 7% decline in 2025-2026 driven by weak global economic growth and persistent oil surplus. Despite recent declines, prices are projected to remain above pre-pandemic levels.

Energy prices are expected to fall, impacting global inflation and consumer prices. Oil demand is predicted to grow slowly, with Brent crude oil prices forecasted to hit a five-year low.

Food prices are also expected to decrease, with soybean prices falling in 2025. However, fertilizer prices are projected to surge, potentially affecting farmer profit margins.