From Yahoo Finance: 2025-05-05 09:54:00

The commodity market is growing rapidly, with a projected value of $8.16 billion by 2034. However, the World Bank forecasts a 12% drop in global commodity prices in 2025 and a further 5% decline in 2026 due to economic slowdown and high oil supply, impacting developing countries and trade barriers.

Morgan Stanley anticipates 2025 to be pivotal for commodity markets, influenced by supply, inflation, and dollar fluctuations. U.S. inflation is high, not meeting the Federal Reserve’s target, with policy changes raising expectations. The strong dollar is pressuring global demand for commodities, with tight supply supporting prices amidst high inflation.

Vale S.A. (NYSE:VALE) is the largest iron ore and pellet producer globally, focusing on core assets after divesting non-core businesses. The company reported 4% growth in iron ore sales in Q1 2025, achieving sustainability milestones and cost reductions. Despite ranking 6th in potential upside, AI stocks may offer higher returns in a shorter timeframe.

Read more: Is Vale S.A. (VALE) Among the Top Commodity Producers With the Highest Upside Potential?