Do you want to try the best API that can give you accurate New York Rates? We recommend Metals-API.
The cost of some commodities has increased, particularly the price of well-known industrial metals, as economies throughout the world begin to recover. Depending on a number of variables, the metals price increase may lose steam to a greater or lesser amount.
Why did the price of metals rise so much faster than that of other commodities? Four factors exist:
A manufacturing-based recovery
Manufacturing activity recovered more swiftly than services, notably in China, which is the world’s largest consumer of metals, and did not see as much of a decline at the beginning of the pandemic. At the same time, industries that heavily rely on energy commodities, such as the transportation industry, continue to be affected. For instance, the consumption of transportation fuels worldwide is still 93% of pre-pandemic levels, which is preventing a further increase in oil prices.
Supply-side factors
The COVID-19 outbreak briefly halted a number of mining activities. Furthermore, because of port congestion, quarantine limitations, ongoing issues with crew manning, and a recovery in fuel costs from the deep lows in Spring 2020, freight rates for the transportation of bulk cargoes hit a ten-year high. All of this raised the price of metals.
Expectations for faster energy transition and infrastructure spending
Metals prices received a further lift from optimistic expectations regarding the speed of the transition to a greener economy and ambitious infrastructure projects. Both would raise the global economy’s “metal intensity.” According to the International Energy Agency, a quick energy transition may necessitate a 40-fold increase in lithium consumption for electric vehicles and renewable energy sources, as well as a 20–25-fold increase in graphite, cobalt, and nickel consumption for these uses. The demand for copper, iron ore, and other industrial metals would increase due to the ambitious infrastructure initiatives in the European Union and the United States.
Storability of metals
Contrary to some agricultural products or crude oil, which require particular storage facilities, metals are simpler to keep. This makes their pricing more forward-looking and, as a result, more sensitive to changes in interest rates (lower interest rates reduce the “cost of carry,” which also includes the cost of storage, insurance, and other expenses, and, therefore, tend to support commodity prices) and market expectations, like those about a quicker energy transition and infrastructure spending.
Will the price of metals continue to rise or decline? This is a difficult question. To keep track of how metal prices are inscreasing or decreasing you should try an API.
If you want to try a good New York Rates API we recommend Metals-API.
What Is Metals-API?
The Metals-API may deliver real-time precious metals data through API at a frequency as high as every 60 seconds, with an accuracy of two decimal places.
Providing exchange rates for precious metals, currency conversions, time-series data, volatility statistics, and the lowest and highest prices of any particular day are a few of the features.
How Does It Work?
It is simple to use. Now all you have to do is adhere to the guidelines listed below:
- Create a profile.
- Produce an API Key
- Choose the desired metal and currency.
- Make an API Request, then wait for the system to respond with an API.
Is The Website Secure?
Banks and financial information providers, such as the European Central Bank, are where Metals-API gets its currency data from. Bank-grade 256-bit SSL encryption is used to encrypt your connection to the API.
Also published on Medium.