Commodity Blog

Posts Tagged ‘ICE’

Raw-sugar futures gained today on concerns that drought may threaten harvest in Brazil, the largest producer. Harvest of sugar-cane in Brazil’s Center South, the biggest growing region in the world, may be lower than estimated 570 million metric tons if dry weather persists. October delivery for raw sugar rose $0.0063 (3.2 percent) to $0.2038 per pound as of 10:48 on ICE.

While in some countries wheat harvest is also threatened by drought, in Europe wheat faces other danger: excessive rains. Wheat prices jumped on speculation that Germany and some other countries of the Western European Union would have too much rain and also after Egypt bought 225,000 metric tons of wheat from the US. December futures for wheat delivery gained $0.23 (3.4 percent) to $7.0875 per bushel by 13:15 on CBoT.

Crude oil prices jumped today after manufacturing in the US and China expanded in August faster than expected. ISM PMI in the US rose from 55.5 to 56.3 in August. October settlement for crude oil (Brent) went up $1.71 (2.3 percent) to $76.35 per barrel on ICE.

Soybeans gained today on speculation that US inventories will decline with increasing China’s imports. China bought 284,000 metric tons of US soybeans for delivery after September 1st, while Chinese processors may have purchased more than 1.2 million tons of soybeans from the US in the previous week. November futures for soybean delivery went up $0.0525 (0.5 percent) to $10.39 per bushel as of 10:12 on CBoT.

Cocoa slipped to the lowest level in three months in London on outlook for better harvest in Ivory Coast, the biggest grower in the world. The harvest starting next month may rise 11 percent to 1 million metric tons from 900,000 tons in the previous year. December delivery for cocoa gained $4 (0.1 percent) to $3,039 per ton by 12:03 on ICE.

Raw-sugar futures erased gains, sliding to the two-week low, on speculation that growing supplies from Brazil will curb the global deficit. Production in Brazil’s Center South, the largest producing region in the world, advanced 26 percent in the first half of July. October delivery for raw sugar fell 0.5 cent (2.7 percent) to $0.1774 per pound as of 13:10 on ICE.

Hogs futures slipped today on forecast that high US pork prices may diminish retail demand. Meatpackers shipped 9.215 million pounds of pork last week, the worst week since late June. October futures for hog settlement slid $0.003 (0.4 percent) to $0.793 per pound at 9:42 on CME.

Raw sugar experienced a strongest decrease in almost two moths on speculation that supplies from Brazil and India, the world’s largest producers, would increase, erasing the global deficit. Production in Brazil’s Center South increased by 26 percent in the first half of July, while cane planting in India was boosted by rains, which were 2.5 percent above the 50-year average in July. October delivery for raw sugar slumped $0.0079 (4.1 percent) to $0.1861 per pound by 9:45 on ICE.

Coffee futures dropped the most in two weeks on speculation that the commodity rallied too much, considering the anticipated high supplies from Brazil, the biggest producer. Global coffee production may grow 12 percent to 135 million bags in the year starting October 1st. September delivery for Arabica coffee slid $0.0475 (2.8 percent) to $1.6775 per pound as of 10:04 on ICE.

Cocoa futures gained today after the report about increased demand in North America. The cocoa grind increased by 12 percent in the second quarter to 117,657 metric tons compared to the previous year. Analysts say that grinding numbers show strong demand and support prices. September delivery for cocoa rose $21 (0.7 percent) to $3,165 per ton on ICE.

Hogs futures went up today as hot weather in the U.S. causes decrease of animals’ weight, causing concern about declining pork supply. The animals tend to eat less with such jot weather, decreasing their weight. Hogs purchased yesterday by pork processors weighed 2 kilograms (4.44 pounds) compared to the same day in the previous month. October futures for hog settlement gained $0.00375 (0.5 percent) to $0.757 per pound on the CME.

Cattle futures gained on signs of increasing demand for U.S. beef. Wholesale beef, shipped by meatpackers in the week that ended yesterday, climbed as much as 44 percent to 43 million pounds, compared to 29 million pounds in the week earlier. October futures for cattle delivery rose $0.00875 (1 percent) to $0.92275 per pound on CME.

Cotton futures rebounded as the weaker dollar boosted demand for some commodities as an inflation hedge. The U.S. currency dropped to the lowest level in two months versus the basket of six currencies. December delivery for cotton gained $0.0086 (1.2 percent) to $0.7465 per pound on ICE Futures U.S.

Copper and aluminum prices rose after aluminum producer Alcoa Inc. reported that its earnings were higher than expected. Alcoa Inc. forecast that global aluminum demand would grow 12 percent in 2010. September futures for copper delivery added $0.0085 (0.3 percent) to $3.0175 per pound on COMEX. Aluminum rose 1.2 percent to $1,995 per metric ton on LME.

Arabica coffee climbed to the weekly high level today amid speculations that supplies would decline. Inventories tracked by ICE sank 29 percent this year to the lowest level since August 2002 as of July 7th. Global exports will be below last year’s forecast of 95.5 million bags (1 bag equals 60 kilograms or 132 pounds). September delivery for Arabica coffee gained $0.024 (1.5 percent) to $1.645 per pound at 10:01 on ICE.

Cattle futures dropped today on expectation that outdoor grilling in the U.S. would decline because of jot weather, diminishing demand for beef. Prices also may slump as investors liquidate positions after the three-day rally. Prices were rising throughout this year partly because of growing demand for beef. August futures for cattle delivery dropped $0.004 (0.4 percent) to $0.905 per pound as of 10:47 on CME.

Wheat rose today on speculation that dry weather in Western Europe and in countries near Black Sea would damage output. Wheat is heading for the sixth consecutive gain. September futures for wheat delivery gained $0.0115 (0.2 percent) to $5.3175 per bushel by 10:06 on CBoT.

Copper futures dropped in New York, paring previous gains, concerns resurfaced that slower economic growth would damp demand for the industrial metal. The International Monetary Fund stated yesterday that “recent global stability gains are threatened” by the European debt crisis. September futures for copper delivery slid $0.007 (0.2 percent) to $3.008 per pound as of 11:41 on COMEX.

Orange-juice futures dropped on forecast that production in Florida, the second-largest producer in the world, would be bigger than previously expected. The harvest, that ends this month, estimated to be 134 million boxes, compared to the June estimates of 133.6 million. September delivery for orange juice slipped $0.0765 (5.3 percent) to $1.3785 per pound by 13:00 on ICE.

Cocoa rose in New York today for the first time in three sessions as rainfalls slowed production in Ivory Coast, the biggest producer in the world. Prices may rise further in New York after the dollar weakened today. September delivery for cocoa gained $13 (0.4 percent) to $2,980 per metric ton at 9:38 on ICE.

Copper prices rose in New York today for the third consecutive session as rising equities and decreasing stockpiles promised steady demand. The LME-monitored inventories fell for the 14th session to the lowest level since November 30th. The MSCI World Index of shares rose for the second day, signaling about the improving global economic outlook. September futures for copper delivery gained $0.047 (1.6 percent) to $3.018 per pound as of 10:52 on COMEX.

Raw sugar rose today for a third consecutive day on outlook for increasing purchases from Russia next month as the import tax was lowered. Analysts say that sugar prices may go up 30 percent in 2010 on rising demand, low output and transportation delays. October delivery for raw sugar gained $0.0026 (1.6 percent) to $0.1654 per pound on ICE.

Cattle and hogs slid today on concern for economic growth as the U.S. payrolls was lower than expected. Demand for meat also tends to fall in July and August because of hot weather. August delivery for cattle futures slipped $0.002 (0.2 percent) to $0.8975 per pound as of 12:01 p.m. on CME. August settlement for hog futures dropped $0.008 (1 percent) to $0.8105 per pound.

Cocoa dropped today on concern that the U.S. economic recovery would stall, damping demand for commodities. U.S. nonfarm payrolls dropped in June more than expected. Housing market and manufacturing sector also showed signs of weakness. September delivery for cocoa declined $70 (2.3 percent) to $2,971 per metric ton on ICE.

Wheat gained today amid speculations that demand might increase with shortage of corn. U.S. farmers sowed less acreage with corn than was predicted. Corn is competing grain used to feed livestock, therefore shortage of corn boosts wheat. September futures for wheat delivery gained $0.075 (1.6 percent) to $4.8775 per bushel as of 10:01 on CBoT.

Orange-juice futures rose to the highest level in 15 weeks as hurricanes threaten to damage citrus harvest this season in Florida. According to government’s forecasts, orange crop in Florida would drop to 133.6 million boxes in the harvest ending in July from 162.5 million boxes in the previous season. Speculator increased their net-long positions as of June 22nd by 26 percent from the previous week. September delivery for orange juice added $0.0015 (0.1 percent) to $1.485 per pound by 12:07 on ICE.