Commodities suffer dramatic plunge on global demand fears

LONDON, May 7 (AFP): Most commodities slumped this week, as traders fretted over downbeat economic data and fears of weak energy demand in the United States and elsewhere, analysts said. However, those losses were capped somewhat by Friday's upbeat non-farm payrolls data in the United States, which is a key consumer of most raw materials. Oil: World oil prices slumped, with sentiment hit by weak US economic data, a stronger dollar and concerns over dampening energy demand. Last Friday, Brent North Sea crude slumped by more than five dollars to $105.15 a barrel-reaching the lowest level since February 21. New York crude hit a similar low at $94.63. Oil had already plunged Thursday, with New York crude diving at its fastest pace for two years in the wake of disappointing US jobs data and the stronger dollar. It lost more than eight per cent in value as it dropped below $100 a barrel for the first time since March 16. Crude futures have also fallen heavily in response to downbeat Chinese economic data, and fears over the eurozone debt crisis after the bailout of debt- wracked Portugal. Many commodities also fell as the euro tumbled against the dollar after the European Central Bank cast doubt on a eurozone interest rate rise any time soon. Precious Metals: Gold enjoyed another historic peak at $1,577.57 per ounce, but precious metals ended with the week with sharp losses, particularly for silver which shed 30 per cent in value on mounting economic concerns. By late Friday on the London Bullion Market, gold sank to $1,486.50 an ounce from $1,535.50 the previous Thursday. Silver slumped to $34.20 an ounce from $48.70. On the London Platinum and Palladium Market, platinum decreased to $1,789 an ounce from $1,835. Palladium slid to $721 an ounce from $777. Base Metals: Industrial metals slid sharply as traders questioned whether high price levels were justified, and stubborn worries about the outlook for Chinese demand. By late Friday on the London Metal Exchange (LME), copper for delivery in three months dived to $8,763.25 a tonne from $9,384 Thursday of the previous week. Three-month aluminium slid to $2,612 a tonne from $2,770. Three-month lead dropped to $2,287 a tonne from $2,493. Three-month tin retreated to $29,300 a tonne from $32,150. Three-month zinc slipped to $2,140 a tonne from $2,238. Three-month nickel declined to $24,405 a tonne from $26,613. Cocoa: Prices fell after rebounding sharply the previous week, with all eyes on the latest developments in key producer Ivory Coast. Investigators grilled fallen leader Laurent Gbagbo for the first time on Friday about post-election violence which engulfed Ivory Coast, as his lawyers were turned back at the airport. By Friday on LIFFE, London's futures exchange, cocoa for delivery in July fell to o1,863 a tonne from o1,961 on Thursday of the previous week. In New York on the NYBOT-ICE, cocoa for July slid to $3,024 a tonne from $3,277. Coffee: Prices hit new 34-year highs for the third week in a row on concerns over stretched global supplies, hitting 308.90 cents a pound in New York. By Friday on NYBOT-ICE, Arabica for July sank to 291.30 US cents a pound from 301.95 cents Thursday of the previous week. On LIFFE, Robusta for delivery in July stood at $2,576 a tonne compared with $2,560. Sugar: The market fell as traders responded to plentiful supplies. By Friday on NYBOT-ICE, the price of unrefined sugar for delivery in July slid to 20.95 US cents a pound from 22.26 cents on Thursday of the previous week. Rubber: Malaysian rubber prices fell further as production increased, while sentiment was cautious about a slower global economic recovery-especially in Asian powerhouse China. The Malaysian Rubber Board's benchmark SMR20 fell to 439.95 US cents per kilo from 464.75 cents last week.