Commodity Blog

Posts Tagged ‘Chicago’

Wheat gained as U.S. farmers are cutting sales on anticipation that a weaker dollar will increase demand for the grain. Price was falling as global wheat supplies are increasing faster than world demand but low wheat planting this winter may cause lack of supplies, leading to rebound in price. May futures for wheat delivery rose $0.1125 (2.2 percent) to $5.1575 per bushel on the Chicago Board of Trade.

Corn advanced on speculation that excessive rainfall may harm crops in Argentina. Price is supported by combination of a falling dollar, adverse weather and improving world stock markets, as well as by farmers, who are holding crops for higher prices. May futures for corn delivery jumped $0.0525 (1.4 percent) to $3.8675 per bushel in Chicago.

Gold may rise to $1,162 per ounce, according to technical analysis, in case prices hold above $1,135 level. The precious metal advanced 3.6 percent this year. Gold traded at $1,136.45 by 10:44 in London.

White sugar gained in London on signs that a global production deficit may persist, encouraging importers to increase inventories. Production of sugar cane in Brazil and India, the largest growers in the world, was hampered by adverse weather. Analysts forecast that global demand will exceed worldwide output by 9.4 million metric tons in the 2009–10 season. May delivery for white sugar rose $7.60 (1.1 percent) to $714.50 per metric ton on the Liffe exchange.

Wheat, soybeans and corn dropped in Chicago after the dollar gained, making purchases of U.S. crops unprofitable for traders, who are using other currencies. May delivery for wheat lost 1.3 percent to $4.9325 per bushel on CBoT by 12:34. Argentina, the third biggest soybean exporter in the world, may produce more soybeans than previously predicted record 52 million tons with the aid of rains. May delivery for soybeans declined 0.7 percent to $9.575 per bushel. Corn planting is expected to increase from 86.5 million acres last year to 89 million this year. May delivery for corn fell 0.7 percent to $3.6625 per bushel.

Cotton price touched the lowest level since November as the stronger dollar curbed the demand for the commodity as an alternative investment. The greenback reached the highest level versus basket of six major currencies since July. Price also rose as declining equities caused concern that the economic rebound may be slow. March cotton delivery slid $0.0159 (2.3 percent) to $0.674 per pound at 11:55 a.m. on ICE Futures U.S. in New York.

Wheat prices went down in Chicago as oversees buyers moved to cheaper supplies. U.S. grain was considered overpriced as wheat from Russia, France and Kazakhstan was sold to Egypt for $174.90 per metric ton, while U.S. wheat was priced at $184.91 per ton. March futures for wheat delivery dropped $0.025 (0.5 percent) to $4.7325 per bushel on CBoT.

Cattle futures slid for the second time this week on speculation that demand for a beef has declined as wholesale prices rose in January to a highest level in seven months. Beef price touched the record level since May 27th at January 19th, causing retailers and importers to cut buying. Since January 19th beef has fallen 4.5 percent. April futures for cattle delivery slid $0.00625 (0.7 percent) to $0.8925 per pound by 9:39 on the Chicago Mercantile Exchange.

Wheat futures tumbled in Chicago on forecast that dollar will advance, curbing the demand for U.S. grain as an alternative investment. The dollar rose 0.5 percent versus a basket of six major currencies today, the first gain this week. Some speculators may begin selling commodities which they purchased when dollar was weak. March futures for wheat delivery subtracted $0.0875 (1.8 percent) to $4.785 per bushel as of 9:59 on CBoT.

Sugar futures rose on speculation that the global deficit will be higher than forecasted. Analysts say that “sugar has favorable technicals and fundamentals”. March futures for raw-sugar delivery added $0.0012 (0.4 percent) to $0.294 per pound on ICE Futures U.S. in New York.

Wheat futures gained in Chicago on forecast that supplies may decline because farmers in the U.S. cut selling after prices dropped last month to the lowest level since June. Prices are also aided by expectation of rising demand for U.S. wheat. March futures for wheat delivery went up $0.125 (2.6 percent) to $4.8725 per bushel on CBoT.

Cotton prices rose, ending the longest decline since September 2008, on outlook for improving demand in China, the biggest buyer of the fiber in the world. The area planted with cotton may decrease by 4.9 percent and reductions in the crop supply may cause Chinese textile producers to increase imports. March futures for cotton delivery gained $0.0104 (1.5 percent) to $0.6926 per pound on ICE.

Gold prices rose on expectation that the dollar will drop, spurring the demand for the precious metal as an inflation hedge. The U.S currency little changed versus a basket of six major currencies since it reached a five-month record on January 21st. Last week gold slid 3.6 percent, encouraging some investors to buy the commodity. February futures for gold delivery gained $6 (0.6 percent) to $1,095.70 per ounce on the New York Mercantile Exchange’s Comex unit.

Wheat futures tumbled in Chicago on speculation that growing global stockpiles will surpass demand for the grain. Analyst predict that global inventories may jump 19 percent to 195.6 million metric tons by the end of the marketing year on May 31st. Consumption is predicted to increase 0.7 percent to 644.5 million tons. December futures for wheat delivery dropped $0.0025 to $4.9825 per bushel on CBoT.

Refined copper imports in China, the greatest buyer in the world, rebounded in November with rising domestic prices and increasing demand. China may increase imports to 200,000 tons per month in the first quarter of 2010 as high domestic prices made purchases from overseas sellers cheaper. Delivery for copper in three months on LME dropped 0.6 percent to $6,895 per ton by 15:21 in Shanghai.

Corn slid and soybeans went down as the dollar gained, curbing the attractiveness of commodities as an alternative investment. Analysts says that the strong dollar “is encouraging some speculators to reduce long positions”. March futures for corn delivery went down $0.055 (1.4 percent) to $3.945 per bushel as of 10:32 on CBT. March futures for soybean delivery slid $0.1075 (1.1 percent) to $9.9775 per bushel in Chicago.

Crude oil rose as the dollar dropped and on speculation about global economic restoration. A rising dollar cut demand for commodities as an alternative investment. February delivery for crude oil gained $0.62 (0.8 percent) to $74.34 per barrel by 13:13 on the New York Mercantile Exchange.

Sugar rose to the weekly high on speculation that production will fall in India, the second-biggest producer in the world. The sugar production in the season started October 1st in India expected to be somewhat lower than previously expected 16 million metric tons. March futures for sugar delivery added $0.0038 (1.7 percent) to $0.2304 per pound on ICE.

Corn futures slid to the weekly low as farmers in the U.S. are selling a near-record harvest to profit from a 22 percent rally since October 2nd. Analysts consider rally to be “capped”. March futures for corn delivery slid $0.08 (1.9 percent) to $4.065 per bushel on CBT.

Wheat dropped as the rising price last month diminished the attractiveness of the U.S. grain. Traders may begin selling the commodity after the price reached $5.98 per bushel, the record price since November 23rd, yesterday in Chicago. March futures for wheat delivery dropped $0.08 (1.4 percent) to $5.76 per bushel by 10:01 on CBT.

Copper prices jumped to the highest in six weeks as the weakening dollar and faster economic restoration signaled that demand for the metal used in pipes and wires may go up. The dollar slumped 0.8 percent against a basket of six major currencies. The decreasing jobless rate and supply concerns are also bolstering market. December futures for copper delivery jumped $0.104 (3.7 percent) to $2.8835 per pound by 11:57 on the Comex division of the New York Mercantile Exchange.

Protests against high prices for food, including rice, may again take place in Asia in 2010 because drought in India and crop losses in the Philippines may cause prices to jump. Drought in India may cut rice production by 18 percent to 81 million tons in the year beginning October 1st, causing less global supplies to be available for importers. Stockpiles may drop further as two storms in the Philippines, the biggest importer in the world, destroyed about 450,000 tons (7 percent) of the fourth-quarter rice crop. The contract for November rice delivery gained 0.6 percent to $13.305 per 100 pounds today in Chicago.

Rice exports from Thailand, the biggest shipper in the world, may exceed forecast this year and reach a record in 2010 because of high African demand and a lack of shipments from India. India cut rice shipments last year on concern about global shortage, leading to record prices for the grain. Same crises may happen as rising energy costs again spur commodity prices, including rice. Rice futures reached $13.30 per 100 pounds yesterday in Chicago.

Copper is falling in New York for a fifth-straight weekly decline, the longest slide in a year. December futures for copper delivery fell $0.051 (1.9 percent) to $2.686 per pound by 8:16 on the New York Mercantile Exchange’s Comex division.