Home / In The News / World Commodities

World Commodities

WORLD COMMODITIES TRADING
Oil prices up, but crude ends week down 5pc

Oil prices rose about 1% on Friday as an increase in U.S. jobs eased some financial market concerns that a slowing global economy could dent oil demand, but crude fell more than 5% on the week, its second consecutive weekly decline.

Brent crude LCOc1 futures gained 66 cents, or 1.14%, to settle at $58.37 a barrel. West Texas Intermediate (WTI) crude CLc1 futures rose 36 cents, or 0.7%, to settle at $52.81 a barrel. Brent futures fell 5.7% for the week, its biggest weekly drop since July. WTI lost 5.5% for the week, also its steepest fall since July.

US job growth increased moderately in September, with the unemployment rate dropping to near a 50-year low of 3.5%, according to a US Labor Department report.

Gold steadies, but on track for weekly gain

Gold steadied on Friday, paring earlier gains as bets the US Federal Reserve would cut interest rates aggressively this year were tempered after better-than-expected US jobs data, but bullion was still on track for a weekly gain.

Spot gold was up 0.1% at $1,506.76 per ounce in New York trade on Friday (1743 GMT). Prices are still on track for a weekly gain of about 0.7%. US gold futures settled down 0.1% at $1,512.90.

Elsewhere, platinum fell 0.9% to $882.26 an ounce and was down over 5% this week, on track for its biggest weekly decline since May. Silver was steady at $17.56, and palladium climbed 1% to $1,669.25.

Russia’s agriculture ministry raises 2019 wheat crop outlook

Russia’s agriculture ministry has raised its 2019, wheat crop forecast to 78 million tonnes from 75 million tonnes, Interfax news agency reported on Wednesday, citing minister Dmitry Patrushev. The news agency also said the total grain crop forecast remained unchanged at 118 million tonnes this year.

 

Copper dips on Trump impeachment inquiry, US-China trade

Copper prices slipped on Wednesday as investors pulled back from riskier assets after a US impeachment inquiry was launched amid further uncertainty over US-China trade talks.

Democrats in the US House of Representatives decided to hold impeachment hearings into President Donald Trump, helping to pressure world stocks to fall to a two-week low. Trump also delivered a stinging rebuke to China’s trade practices in a speech on Tuesday.

Palm oil ticks up from 6-week low on weaker Ringgit

Malaysian palm oil futures closed higher on Wednesday, after hitting a six-week low in the previous session and snapping five days of losses, supported by a weaker ringgit. The ringgit, palm’s currency of trade, fell to a three-day low against the dollar, making the edible oil cheaper for foreign buyers. The ringgit was last down 0.2 percent at 4.1880.

The benchmark palm oil contract for the December delivery on the Bursa Malaysia Derivatives Exchange was up 0.3 percent at 2,147 ringgit ($512.66) per tonne at the close of trade. US soyoil futures on the US Chicago Board of Trade were down 0.4 percent, while the January soyoil contract on the Dalian exchange fell 0.03 percent. Meanwhile, the Dalian January palm oil contract declined 0.6 percent.

Raw sugar hits one-week high but excess supply caps gains

Raw sugar futures hit a one-week high on Tuesday as funds covered their record net short position, though signs of excess nearby supply continued to cap gains. Arabica coffee drifted lower and cocoa steadied following its recent strong run. October raw sugar was up 0.11 cent, or 1 percent, at 11.33 cents per lb by 1059 GMT, having hit its highest since Sept. 16 at 11.34 cent per lb.

Sugar has been underpinned by a further rise in the already large speculative net short position and expectations the global market will swing into deficit in the 2019/20 season. However, dealers expect a large amount of raw sugar will be delivered against the October contract, which expires on Monday, indicating excess nearby supply. Although much can happen before expiry currently the open interest is 10,000 higher than in 2013 when 1.5 million tonnes were delivered, said a dealer. December white sugar was up $1.90, or 0.6 percent, at $331.10 per tonne, having hit its highest since June 28 at 331.80.

NY coffee may hover above $1.00 per lb

New York December coffee may hover above $1.00 per lb, or bounce to $1.0260, as suggested by a retracement analysis.

The support is identified as the 50 percent retracement of the uptrend from $0.95 to $1.0495. Coffee failed twice to break this support. The failures suggest that the fall from $1.0495 could have completed. Coffee will either resume its uptrend from the Aug. 20 low of $0.9340 or bounce towards $1.0260. A break below $1.00 could cause a fall limited to $0.9880.

Check Also

Gulf News

Gulf In Focus

GULF STATES – ECONOMICS & FINANCE UAE central bank sets early exit fee limit for …

Leave a Reply