About Peter Sainsbury

Materials Risk provides commodity market insights across your supply chain by highlighting emerging risks and opportunities and providing advice on commodity buying and managing risk. All views expressed on this website are those of Materials Risk only. See our About page and terms and conditions for more details. Materials Risk was founded by Peter Sainsbury who you can follow on Google+ and Quora

Here are my most recent posts

BRENT CRUDE 108.08 -0.71; COTTON 90.59 +0.40

After rising by over $1/bbl in late Friday on hopes that the Eurozone was tackling its debt problems and improved economic sentiment in China and the US, crude futures fell in Asian trading, losing most of Fridays gains.

Cotton prices continue to fall in Asian trading this morning continuing the trend set in US markets on Friday.

Risk of raw material scarcity likely to rise – PwC

PwC reported yesterday the results of a survey across 7 industry sectors in Europe, the US and Asia. The report showed that  executives are increasingly concerned that minerals and metals will become scarcer over the next 5 years. According to the report economic and political drivers are generally seen as more important than physical drivers (such as the exhaustion of reserves).

With raw material scarcity (or even the perception of it) causing issues across supply chains, the need to manage both volume and price risk are likely to become increasingly important.  In dealing with material scarcity, resource efficiency was seen as the single most effective response with strategic alliances with suppliers, diversification of material sourcing and re-use also seen as key ways to reduce risk. read more

Brent 110.15 +0.63; Cotton 92.42 +0.12

Crude oil futures rebounded this morning following losses that stemmed from a surge in US crude stocks (reported Wednesday).

Cotton was up slightly this morning. Futures decline yesterday due to signs of improving US cotton crop conditions and concerns over a slow down in demand for cotton from China.