Question 93

The question below consists of a set of labelled sentences. Out of the four options given, select the most logical order of the sentences to form a coherent paragraph.

P: The recent reduction in interest rates in the US and the injection of liquidity have resulted in investors seeking new avenues such as commodity markets, in view of the turbulence in financial markets and the low returns in treasuries.
Q: The relatively easy liquidity and low interest rates, by themselves, make holding of inventories attractive and thus induce volatility in commodity markets.
R: The financialisation of commodity trade and current extraordinary conditions in global financial markets could have influenced the spurt in prices.
S: The weakening of the US dollar is also advanced as a reason for the recent volatility in commodity markets, including food items.


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