Viewpoints Energy Transition: A Jarring Path to Green Higher energy prices may prompt more investment in energy transition technologies, but we expect periods of volatility and vulnerability along the path to a greener future.
Over the last year, a sharp rise in energy prices – including natural gas, coal, and oil – has contributed to renewed fears that higher input costs could constrain industrial production, reduce household real incomes, and slow economic activity. Relative to pre-pandemic levels, global crude oil prices are now up roughly 50%. In a historical context, this is not uncommon: Since the 1990s, the year-over-year increase in oil prices has exceeded 50% roughly once every three years. In the U.S., while fears that higher energy prices will act as a regressive tax on consumers are warranted, the overall burden from higher oil prices is still considerably below past peaks. To Read the Full Article Log In Or Register
ESG Investing Find new sustainable fixed income strategies with PIMCO’s range of investment funds: Climate Bond Fund, ESG Income Fund, ESG Total Return Fund, ESG ETFs.
Viewpoints Growing Demand, Tight Supply Support Commodities in 2023 Despite macroeconomic headwinds, commodities markets may offer attractive return potential this year in light of ongoing supply constraints and China’s reopening.
Blog OPEC+ Production Cuts Show Energy Security Has a Price The OPEC+ plan to curb oil production complicates the global economic, inflation, and geopolitical outlook and will likely lead to higher prices for key commodities.