BIS Review 74/2008  1  Commodity prices and inflation Rapidly rising prices for globally traded commodities have been the major source of the relatively high rates of inflation we have experienced in recent years, underscoring the importance for policy of both forecasting commodity price changes and understanding the factors that drive those changes.
The COVID-19 pandemic is the first epidemic in the world’s history that has caused significant damage not only to people, the health sector and the macroeconomy, but also posed a considerable potential threat to the stability of financial sectors. Financial market reaction to the uncertainty and risks during the acute stages of the COVID-19 outbreak have led to significant strains in global financial markets.