MXV-Index increased for the 4th consecutive session

According to the Vietnam Commodity Exchange (MXV), the world raw material market was relatively diversified in yesterday's trading session (November 20).

At the close, the MXV-Index of commodity markets increased slightly by 0.11% to 2,186 points, extending its four-session winning streak. Green dominated the industrial raw materials market, notably, the prices of two coffee commodities, Arabica, climbed to their highest peak since 2011 and Robusta, returned to their highest level in more than a month due to concerns about supply from Brazil and Vietnam.

MXV-Index

Precious metal prices return to decline due to pressure from the USD

According to MXV, the metal market was relatively mixed yesterday. For precious metals, silver and platinum prices both fell back due to pressure from the USD. Silver prices fell 0.82% to 31 USD/ounce. Platinum prices fell 1.31% to 965.8 USD/ounce, ending the previous 4 consecutive sessions of increase.

Metal price list

The precious metal continued to benefit from the escalating tensions between Russia and Ukraine yesterday, with Ukraine firing missiles made by the UK and the US into Russian territory for the first time since the conflict began in 2022. This not only increased tensions between Russia and Ukraine, but could also worsen relations between the West and Russia.

However, the stronger US dollar has put strong pressure on the price of precious metals, overshadowing the role of safe haven. The Dollar Index recovered after three consecutive sessions of decline and returned to the highest level in a year, closing up 0.45% at 106.68 points. Investors continued to rush to buy the greenback following the "Trump trade" wave and due to concerns that the US Federal Reserve (FED) may keep interest rates high for longer. CME Group's FedWatch interest rate tracking tool showed that market expectations for a rate cut in December have dropped significantly, with the betting rate now at 55.7%, down from 82.5% just a week ago.

For base metals, iron ore prices fell the most in the group, down 0.26% to $101.03/ton. In the context of weak demand in China, the government's failure to introduce new economic stimulus policies has disappointed investors, causing cash to continue to leave the market.

Yesterday (November 20), the People's Bank of China (PBOC) kept the one-year loan prime rate (LPR) unchanged at 3.1%, and the five-year LPR (applied to long-term investment loans such as home loans and mortgages) unchanged at 3.6%.

Adding to the pressure on prices, analysts at BMI Analytics, a division of Fitch Solutions, have forecast further declines in iron ore prices due to weak demand in top consumer China. The average iron ore price in 2025 is expected to reach $100 per tonne, down from an average of $104 per tonne in 2024. In the medium term, BMI forecasts iron ore prices will fall to $78 per tonne by 2033.

Prices of some other goods