China growth concerns dent commodity prices

LONDON, Jan 25 (AFP) : Oil prices endured a roller-coaster week, with an upbeat economic growth forecast for the world economy giving way to concerns over Chinese output.
Commodity markets traders balanced the IMF's global growth forecast upgrades against news that manufacturing activity in key commodity consumer China shrank in January for the first time in six months.
"Business surveys suggest that the eurozone recovery gained momentum in January, while China's manufacturing slowdown has continued," noted analysts at consultancy Capital Economics.
OIL: New York prices on Thursday jumped to $97.84 a barrel, the highest level since January 2, helped in part by a sliding dollar that can make commodities priced in the US unit cheaper for buyers holding rival currencies.
Crude futures though dropped on Friday, mirroring sentiment across equity markets, with traders banking recent profits amid strains across emerging markets including China and Turkey, analysts said.
PRECIOUS METALS: Gold prices rebounded, winning strength from the flagging dollar and haven demand amid losses on Wall Street.
"A rare combination of plunging stocks and US dollar has seen precious metals rally," said Forex.com analyst Fawad Razaqzada.
SUGAR: The sugar market plummeted to multi-year low points on abundant supplies. Prices reached 14.97 US cents a pound in New York, the lowest level since June 2010. In London deals, sugar futures hit the weakest point since April 2009, at $403.40 a tonne.
"Prices have slumped in response to a record harvest in Brazil-the world's largest exporter-and strong selling activity prompted by the weakening real", or currency of Brazil, said analysts at Ecobank.
COFFEE: Coffee futures retreated on solid supplies in Brazil, the world's biggest exporter of the commodity.
By Friday on the ICE Futures US exchange, Arabica for delivery in March slipped to 114.50 US cents a pound from 117.95 cents a week earlier.
COCOA: Prices advanced.
"Prices have been supported by a rebound in demand from global grinders, notably in Western Europe and Asia, and strong buying by traders who fear that a sharp slowdown in West African deliveries is on the cards," said Ecobank analysts.
RUBBER: Prices dropped on a lack of buyers in international markets, traders said.
The Malaysian Rubber Board's benchmark SMR20 fell to 213.70 US cents a kilo from 219.50 cents in the previous holiday-shortened week.