The Standard & Poor’s GSCI Spot Index of 24 raw-materials futures reached 753.89 points, the highest level since Aug. 4, 2008. It was up 1.1 percent at 753.54 at 10:45 a.m. London time, for a weekly gain of 3 percent, on course for the biggest increase in five weeks. Silver for immediate delivery touched $40.235 an ounce, and cotton reached $2.124 a pound.
“The move today is just another step in the longer-term story,” said Eugen Weinberg, head of commodity research at Commerzbank AG in Frankfurt. “Strong industrial demand, high economic optimism, a weaker U.S. dollar and ample liquidity continue to support commodity prices.”
China, the world’s biggest copper consumer, can expand at 8 percent a year for the next two decades, the World Bank said March 23. Industrial use of silver may climb to a record this year, researcher GFMS said yesterday. The Federal Reserve last month stuck to plans to buy $600 billion of Treasuries, and the Bank of England yesterday maintained the size of bond purchases.