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Global commodity prices drop to six-year low, easing inflation pressures
Commodity prices are nearing six-year lows, significantly easing inflation-risks and providing policy-room for central banks.
Global commodity prices have plunged toward their lowest in six years, according to the World Bank. Food-commodity prices are projected to fall about 6.1% in 2025 and another 0.3% in 2026, with major declines in grains like rice, wheat and maize. Meanwhile, oil prices are expected to drop further, driven by oversupply and weakening demand. The commodity slide is helping curb inflation across many economies and giving policymakers room to reduce rates, though some sectors such as dairy and beef still face price pressures.