Strong capital inflow into the commodities market.

The global commodities market is experiencing positive developments as investment flows continue to return strongly.

The widespread green across most commodity groups pushed the MXV-Index up by 0.8%, to 2,391 points.

Buying pressure dominated, with 8 out of 10 metal commodities experiencing price increases. Source: MXV

The metals group was the focus as silver continued its strong performance with a third consecutive day of gains and setting a new record high. COMEX silver prices rose 5.8%, to $64.6 per ounce, nearing the $65 per ounce mark.

According to the Vietnam Commodity Exchange (MXV), the rise in silver prices was driven by the Federal Reserve's third interest rate cut this year. Low interest rates weakened the US dollar, thereby strengthening the attractiveness of assets priced in the greenback, such as silver.

Expectations of increased industrial silver demand are also supporting prices. The U.S. is the world's second-largest consumer of industrial silver, amid continued expansion in the industrial and renewable energy sectors.

In the domestic market, the price of 999 silver increased by about 2% this morning, December 12th, commonly trading at 1.983 - 2.013 million VND/ounce in Hanoi , while in Ho Chi Minh City, the price fluctuated from 1.985 - 2.018 million VND/ounce.

The industrial raw materials market is experiencing mixed trends. Source: MXV

In the industrial raw materials group, cocoa continued to be a bright spot with its fifth consecutive day of gains. Cocoa futures prices rose by nearly 1.1%, to $6,288 per ton.

MXV assesses that the upward trend is mainly driven by expectations of tighter supply. Besides supply factors, market sentiment is also supported by the possibility of cocoa being added to the BCOM commodity index next year, leading to portfolio restructuring activities.

However, consumer demand remains a drag on growth, with confectionery sales and grinding output declining in Asia and Europe during the third quarter.

Source: https://hanoimoi.vn/dong-tien-chay-manh-vao-thi-truong-hang-hoa-726524.html