Commodity Blog

Archive for November, 2009

Latest commodity prices (ICE, NYMEX, CME) as of 18:28 GMT:

Oil (Brent) — $76.51
Gold — $1,165.28
Silver — $18.43
Palladium — $366.00
Platinum — $1,453.93
Copper — $6,898.00
Aluminum — $2.023.00
Nickel — $16,750.00
Zinc — $2,245.00
Cocoa — $3,200.00
Sugar — $22.12
Corn — $380.50
Soybean — $39.94

Hog futures jumped to a five-month high as declining U.S. pork inventories signaled that global demand for the meat may be growing. Despite extensive hog slaughter demand may rise occasionally and supplies may be not enough to meet it, analysts say. Pork inventories declined 1.5 percent from the previous year to 520.13 million pounds. February futures for hog settlement climbed $0.0165 (2.6 percent) to $0.66025 per pound by 11:11 on the Chicago Mercantile Exchange.

Wheat gained on expectation that a declining dollar will increase the demand for commodities as an inflation hedge and boost U.S. exports. Another reason for the rising price is concern that U.S. farmers will plant fewer winter wheat as rainfalls delayed the corn and soybeans harvests, lowering the amount of land available for wheat. March futures for wheat delivery gained $0.0975 (1.7 percent) to $5.905 per bushel at 11:46 on CBT.

Cotton reached a 16-month high after the weaker dollar spurred demand for the commodity. The declining dollar is pushing down the cost to overseas buyers for U.S. commodities. Holders of cotton are unwilling to deliver supplies against the December futures contract. March futures for cotton delivery added $0.0066 (0.9 percent) to $0.747 per pound as of 12:51 on ICE.

Latest commodity prices (ICE, NYMEX, CME) as of 18:13 GMT:

Oil (Brent) — $78.00
Gold — $1,167.30
Silver — $18.67
Palladium — $369.00
Platinum — $1,466.04
Copper — $6,921.00
Aluminum — $2.029.00
Nickel — $16,875.00
Zinc — $2,271.00
Cocoa — $3,244.00
Sugar — $22.07
Corn — $392.00
Soybean — $40.46

The technical analysis, that includes the indicators’ data and major pivot points for Brent Oil, Gold, Silver and Copper as traded on spot market as of November 21st 2009:

Wheat futures slid for the third day as demand for U.S. grain waned because of increasing global inventories. Analysts predict that prices likely will be constrained in the coming six months as growing global supplies cause lack of demand for U.S. wheat. March futures for wheat delivery slid $0.055 (0.9 percent) to $5.785 per bushel as of 10:37 on CBoT.

Gold prices jumped on expectation that the dollar will fall, raising demand for the metal as an inflation hedge. The greenback reached a lowest level in 15 months versus a basket of six major currencies on November 16th. But the U.S. currency gained today as much as 0.8 percent. December futures for gold delivery added $2.30 (0.2 percent) to $1,144.20 by 12:33 on the Comex division of the New York Mercantile Exchange.

Latest commodity prices (ICE, NYMEX, CME) as of 19:11 GMT:

Oil (Brent) — $77.27
Gold — $1,143.65
Silver — $18.36
Palladium — $362.00
Platinum — $1,429.83
Copper — $6,845.00
Aluminum — $2.056.00
Nickel — $16,750.00
Zinc — $2,256.00
Cocoa — $3,245.00
Sugar — $22.45
Corn — $393.25
Soybean — $40.00

This short commodity trading video, featuring a technical analysis of a spot gold chart, implies that the current bullish state of the gold market is to last at least until $1,300 is reached. The author of the video also talks about strong pull-backs that are inevitable during such fast and long-lasting growth as with the gold. These pull-backs aren’t dangerous for the overall upward trend but can be used by the traders as the better entry points into this market.

Sugar futures dropped to the lowest level in two weeks as the dollar gained, diminishing the attractiveness of commodities as an alternative investment. The dollar put a great investor-selling pressure on sugar. March futures for raw-sugar delivery dropped $0.0056 (2.4 percent) to $0.2274 per pound on ICE Futures U.S. in New York.

Copper prices slid to the two-week low after the dollar rose, eroding demand for the metal as an inflation hedge. It looks like commodities are reacting to the dollar more than anything these days. March futures for copper delivery lost $0.0295 (0.9 percent) to $3.106 per pound on NYMEX.

Soybean prices may increase by 20 percent as of March with economic growth in China, the largest importer in the world, spurring demand. Soybean imports in China may exceed 3.5 million metric tons by November because of lower costs. Soybeans reached a three-month high yesterday and have rose 4.6 percent this year.

Latest commodity prices (ICE, NYMEX, CME) as of 19:11 GMT:

Oil (Brent) — $77.47
Gold — $1,142.18
Silver — $18.50
Palladium — $366.00
Platinum — $1,438.87
Copper — $6,826.00
Aluminum — $2.045.00
Nickel — $17,100.00
Zinc — $2,217.00
Cocoa — $3,141.00
Sugar — $22.60
Corn — $395.50
Soybean — $40.03

Corn price surged to the highest level since June and soybeans gained, continuing the three-month rally, as the weaker dollar pushed up demand for commodities. Weak dollar creates an upward momentum for commodities in the market as speculators seek alternative assets for investment to preserve their purchasing power. March futures for corn delivery gained $0.0625 (1.5 percent) to $4.2375 per bushel by 10:00 on the Chicago Board of Trade.

Cattle futures dropped after the report that export demand for U.S. beef fell. Exports declined 20 percent to 162.4 million pounds in September from a year earlier. There is no demand for beef priced at current level, partly because of the global recession. February futures for cattle settlement dropped $0.005 (0.6 percent) to $0.8515 per pound as of 10:13 on CME.