UK vote for ‘Brexit’ not a game-changer for commodities

The UK’s vote to leave the EU has predictably undermined the prices of industrial commodities, including oil (which initially fell by around 5% in US dollar terms) and copper (-3%), while boosting those of safe havens such as gold (+5%). However, these moves are already starting to unwind. Once the dust has settled on the shock result, we suspect that the prospects for all these commodities will be determined by other, more specific factors.