In January 2016, oil prices plummeted againPrices of oil and raw material imports - January 2016
In January 2016, the crude oil price in euros slumped again (-18.0% after -16.4% in December). Standing at €28.4 on average per barrel of Brent, this price crashed by 31.8% compared to its level in January 2015 (€41.6), hitting its lowest level since December 2004. Prices in euros of the other imported commodities declined again (-2.6% after -1.0%), whether for raw food materials (-2.6%) or industrial raw materials (-2.3%).
In January 2016, the crude oil price in euros slumped again (−18.0% after −16.4% in December). Standing at €28.4 on average per barrel of Brent, this price crashed by 31.8% compared to its level in January 2015 (€41.6), hitting its lowest level since December 2004. Prices in euros of the other imported commodities declined again (−2.6% after −1.0%), whether for raw food materials (−2.6%) or industrial raw materials (−2.3%).
Oil prices plunged
In January, the price of crude oil from the North Sea (Brent) in euros tumbled again (−18.0% after −16.4%). In effect, the supply remained significantly in excess and no agreement on output shrinkage began to be detectable while the lifting of sanctions against Iran implied a further increase in global production. The decrease in crude oil prices was a little more marked in dollars (−18.3% after −15.1%) because the euro depreciated slightly.
tableau tabpetrole – Oil and petroleum productsin euros
|of last month||over the last month||over the last 3 months||over the last 12 months|
|Brent in $ per barrel||30.8||–18.3||–36.0||–36.4|
|Brent in € per barrel||28.4||–18.0||–33.7||–31.8|
- Prices are in euros per tonne unless otherwise specified
- Source : INSEE
Prices of raw food materials kept declining
Prices of raw food materials in euros fell sharply again (−2.6% after −2.3%). The supply was plentiful while the demand slowed, in particular for oil seeds and vegetable oils (−1.3% after −6.3%). The downturn in tropical foodstuffs became more marked (−9.5% after −1.2%). Prices of sugar also fell further (−4.4% after −0.8%) due to higher yields in Brazil. The only exception was that the prices of beef meat accelerated (+6.2% after +3.7%).
Prices of industrial raw materials continued to drop
Prices of industrial raw materials in euros dipped (−2.3% after −0.1%).
Prices of minerals tightened (−1.9% after −0.1%). Prices of non-ferrous metals slipped back (−2.6% after +2.4%), as a result of a decelerating Chinese industrial activity and of an excess capactity of production. All the non-ferrous metals were involved, lead above all the others (−4.7% after +8.9%). However, prices of precious metals rallied (+0.4% after −2.5%), in particular gold (+3.0% after −2.8%) that played its part as a safe investment against the general background of falling equity markets. Finally, prices of iron ore bounced back (+4.5% after −15.5%), as a result of a demand recovery.
Prices of agricultural raw materials went down again (−2.8% after −1.3%; −12.2% year-on-year), in particular those of natural rubber (−7.2% after −1.5%) and tropical wood (−3.5% after −2.9%).
tableau tabmatprem_ang – Imported raw materials (excluding energy) in euros
|over the last month||over the last 3 months||over the last 12 months|
|Oil seeds, vegetable oils||210.4||–1.3||–9.9||–11.7|
|Industrial raw materials||137.7||–2.3||–4.4||–16.6|
|Agricultural raw materials||106.2||–2.8||–0.8||–12.2|
- Source : INSEE