Commodity Prices Hit 18-Year High on Conflict, AI Demand

Commodity prices have reached an 18-year high due to conflict in the Middle East and rising demand, posing a threat to global inflation. The increase is also attributed to the weakening dollar.

The broad gauge of international commodity prices has been driven up by fighting in the region, growing demand tied to artificial intelligence, and declining confidence in the US currency. Central banks around the world have increased gold purchases since 2022, contributing to rising prices.