A pinch-point is the level of

inventories Inventory (American English) or stock (British English) refers to the goods and materials that a business holds for the ultimate goal of resale, production or utilisation. Inventory management is a discipline primarily about specifying the sha ...

of a commodity or product below which consumers of that commodity or product become concerned about security of supply.

Background

When inventories are below the pinch-point, small changes in the balance of supply and demand can cause large changes in the price of the commodity or product. The term was suggested in 1988 by Walter Curlook (Executive Vice-President of Inco Ltd) and was first published by Raymond Goldie with Rob Maiman in 1990. In 2000 Raymond Goldie trademarked the term.

References

{{reflist Commodity markets

Background

See also

References