Goldman Sachs, the largest commodities dealer in Wall Street, warned yesterday of higher raw materials prices in 2010, with oil averaging over $90 a barrel next year.
“As we start a new decade with the global economy emerging from the worst recession of the post-war era, we expect the commodity supply-side constraints of the past decade to once again reemerge, reinforcing the sustainability of higher long-term commodity prices,” said Jeffrey Currie, head of commodity research at Goldman.
The bank is highly influential in commodities markets since it correctly anticipated the super-spike in oil prices from less than $50 towards $150 a barrel.