Jerzy Dudziński

Department of Foreign Trade and International Economic Relations

Faculty of Economics and Management

University of Szczecin

mikmakhz@wneiz.pl

Financial investors in international raw materials and food markets and price movements of those commodities

ABSTRACT. In the paper an attempt is made to analyse the impact of the involvement of financial investors on primary commodity prices in the international market. This phenomenon has been identified as a relatively new yet important attribute of the contemporary world economy. The activity of financial investors has affected the raw materials markets in a way that makes them resemble financial markets. As a consequence, the global financial crisis has been reflected not only in price drops for financial assets (shares, real estate) but also in a slump in the prices of raw materials and food in the international market.

Received: February, 2010

1st Revision: March, 2010

Accepted: April, 2010

JEL Classification: O16, P2

Keywords: world prices, financial crisis, financialisation, commodity markets.