This is not a digital currency chart

This is a commodity chart in the futures market in the American market for orange juice symbol OJ

Of course, the decline of commodities in this way is a sign of significant containment and a major decline in inflation.

Information :-

If oil, copper, and wheat contracts drop together

This may mean that companies will pay less for transportation and raw materials.

This could reflect on a decrease in consumer goods prices, meaning less inflation.

The decline in commodities makes products and services cheaper.

Therefore, economists see that the decline in commodities = a sign of lower inflation in the future.

I expect the beginning of interest rate cuts from the next meeting in May and the start of working on quantitative easing.

However, it is important to note something.

While the decline in commodity contracts is positive for reducing inflation, there is a fine line between reducing inflation and the economy entering a recession if the collapse of commodity prices continues.

This means that they should not collapse more than necessary and should not rise more than necessary. We want stability after the decline.

And an additional piece of information regarding the status of commodities completely denies the expectations of stagflation and the upcoming recession, which is a clear contraction in the performance of strategic and essential commodities.

After analyzing most indicators and commodity charts on a weekly timeframe, they are in rebound zones and sideways movement and have not entered a recession phase.