The commodities market is predicted to be bullish during the next ten years. As the oil prices scale new heights and China remains bullish for natural resources, the commodities market expects more investment in near future than any other market. The author evaluates the commodities market, especially the oil, copper and steel markets and the expected investments into these commodities.

Jim Rogers, the commodity guru along with George Soros, the co-founder of Quantum Fund is very bullish about the commodities market and expects the investments in commodities to beat all other investments in the next ten years. The prices of commodities such as crude oil, copper, gold, steel, etc., are essentially driven by the supply and demand conditions, with the supply playing a greater role in determining the price.

In the last two years the demand was coming from China for various base metals. On the supply side, especially in the case of crude oil there are no major discoveries in the last 35 years. As on August 29, 2005 the crude oil prices have reached a high of 70 dollars per barrel due to Hurricane Katrina, which forced to shut down half of Gulf of Mexican production and there is even an expectation of the price reaching $100 by next year.

The Copper prices have reached a 32-year high on the London Metal Exchange due to a drastic fall of inventories to a level of day's worth of supply. The steel prices have shown volatile movements. In this article the reasons behind the upsurge in the prices of crude oil, steel and copper are evaluated and especially the significance of the ever-exploding crude oil prices.

Treasury Management Magazine, Commodities Markets, Crude Oil Futures, Quantum Fund, US Economy, European Corporate Bond Markets, Chinese Economy, Corporate Sector, Futures Exchanges, London Metal Exchange, LME, Agricultural Commodities.