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World Today, TheVol. 66 Nbr. 3, March 2010

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Summary


Despite the worst global recession since the 1930s, last year commodity prices saw the bigggest annual gain since records began in 1970. [...] the Goldman Sachs Commodity Index recorded a record annual rise of just over fifty percent.

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oNE OF THE MAIN PROBLEMS IN considering future oil prices is to understand how international oil markets actually work. There are two markets for oil: the wet barrel and the paper barrel. In the wet barrel oil market, real people trade real barrels of crude oil and its products either on an immediate 'spot', or term-contract basis.

The paper barrel market trades...

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