Metal prices hammer higher, but oil prices skid lower
Sunday, 3 June 2007
LONDON, June 2 (AFP): Metal prices jumped higher this week as the US dollar struggled to find higher ground, while lead hit a record high on worries over critically low stockpiles and Chinese demand.
Oil prices fell as US refineries began restarting production following disruptions, but losses were capped by falling US crude reserves and geopolitical jitters in Nigeria.
GOLD: The price of gold advanced. A weaker US currency tends to increase demand for dollar- denominated commodities, such as gold, as they become more expensive for buyers holding other currencies.
However, the dollar firmed towards the end of the week after non-farm payroll data came in slightly stronger than expected.
On the London Bullion Market, gold climbed to 666.50 dollars an ounce at Friday's late fixing, from 655.30 dollars a week earlier.
SILVER: Silver prices jolted higher this week, holding above 13 dollars an ounce following strong gains by sister metal gold.
On the London Bullion Market, silver jumped at 13.53 dollars an ounce at Friday's late fixing, from 12.92 dollars a week earlier.
PALLADIUM AND PLATINUM: Both platinum and palladium gained ground.
On the London Platinum and Palladium Market, platinum rose to 1,290 dollars an ounce at the late fixing Friday, from 1,276 dollars a week earlier. Palladium climbed to 371 dollars an ounce, from 367 dollars.
BASE METALS: The price of lead hit an all-time record of 2,380 dollars a tonne Friday on the London Metal Exchange, while other base metals also bounded higher.
Lead, which is used extensively for batteries and in the automotive industry, found solid price support from low global stockpiles.
OIL: Crude oil prices slid on an easing supply picture. Several major oil companies, such as ConocoPhillips, Citgo and Valero, announced that problems at their refineries in the United States had been resolved.
And British energy giant BP's vast Prudhoe Bay oil field in Alaska was back to operating at full capacity after a recent water pipe leak.
COCOA: Cocoa prices drifted lower. "Cocoa futures closed down amid speculative selling," Sucden analyst Michael Davies said.
On the New York Board of Trade (NYBOT), the July contract decreased to 1,868 dollars a tonne, from 1,918 dollars.
COFFEE: Coffee prices hit a new multi-year high in London as investors eyed a low harvest in leading producer Vietnam.
The price of Robusta coffee surged Friday to 1,776 dollars per tonne-which was last seen in January 1999.
By Friday on the LIFFE, Robusta quality for July delivery edged up to 1,766 dollars a tonne, from 1,729 dollars a week earlier.
GRAINS AND SOYA: Grains and soya prices rose as traders said that hot weather in key producers had cut crop output.
By Friday on the Chicago Board of Trade, the price of maize for July delivery jumped to 3.91 dollars a bushel, from 3.76 dollars a week earlier.
Wheat for July delivery climbed to 5.27 dollars a bushel, from 5.01 dollars.
SUGAR: Sugar prices fell. "Investors are still reluctant to take long term positions in sugar as fundamentals remain bearish on the prospect of a large global surplus for this season," Davies noted.
By Friday on the LIFFE, the price per tonne of white sugar for August delivery eased to 334 dollars, from 340 dollars a week earlier.
RUBBER: Rubber prices fell in line with losses at the Tokyo Commodity Exchange (TOCOM), but a tight supply situation was expected to ease with drier weather in coming months.
On Friday, the Malaysian Rubber Board's benchmark SMR20 fell to 223.7 US cents per kilogramme, from 231.65 cents the previous week.
WOOL: Wool prices in major producer Australia hit season highs, with the four main indicators all rising above 10.0 Australian dollars a kilo for the first time since April 2003.
The Australian wool market finished 0.8 per cent higher on average this week, with the Eastern Index ending at 10.16 Australian dollars a kilo, compared with 10.08 Australian dollars the previous week.
Oil prices fell as US refineries began restarting production following disruptions, but losses were capped by falling US crude reserves and geopolitical jitters in Nigeria.
GOLD: The price of gold advanced. A weaker US currency tends to increase demand for dollar- denominated commodities, such as gold, as they become more expensive for buyers holding other currencies.
However, the dollar firmed towards the end of the week after non-farm payroll data came in slightly stronger than expected.
On the London Bullion Market, gold climbed to 666.50 dollars an ounce at Friday's late fixing, from 655.30 dollars a week earlier.
SILVER: Silver prices jolted higher this week, holding above 13 dollars an ounce following strong gains by sister metal gold.
On the London Bullion Market, silver jumped at 13.53 dollars an ounce at Friday's late fixing, from 12.92 dollars a week earlier.
PALLADIUM AND PLATINUM: Both platinum and palladium gained ground.
On the London Platinum and Palladium Market, platinum rose to 1,290 dollars an ounce at the late fixing Friday, from 1,276 dollars a week earlier. Palladium climbed to 371 dollars an ounce, from 367 dollars.
BASE METALS: The price of lead hit an all-time record of 2,380 dollars a tonne Friday on the London Metal Exchange, while other base metals also bounded higher.
Lead, which is used extensively for batteries and in the automotive industry, found solid price support from low global stockpiles.
OIL: Crude oil prices slid on an easing supply picture. Several major oil companies, such as ConocoPhillips, Citgo and Valero, announced that problems at their refineries in the United States had been resolved.
And British energy giant BP's vast Prudhoe Bay oil field in Alaska was back to operating at full capacity after a recent water pipe leak.
COCOA: Cocoa prices drifted lower. "Cocoa futures closed down amid speculative selling," Sucden analyst Michael Davies said.
On the New York Board of Trade (NYBOT), the July contract decreased to 1,868 dollars a tonne, from 1,918 dollars.
COFFEE: Coffee prices hit a new multi-year high in London as investors eyed a low harvest in leading producer Vietnam.
The price of Robusta coffee surged Friday to 1,776 dollars per tonne-which was last seen in January 1999.
By Friday on the LIFFE, Robusta quality for July delivery edged up to 1,766 dollars a tonne, from 1,729 dollars a week earlier.
GRAINS AND SOYA: Grains and soya prices rose as traders said that hot weather in key producers had cut crop output.
By Friday on the Chicago Board of Trade, the price of maize for July delivery jumped to 3.91 dollars a bushel, from 3.76 dollars a week earlier.
Wheat for July delivery climbed to 5.27 dollars a bushel, from 5.01 dollars.
SUGAR: Sugar prices fell. "Investors are still reluctant to take long term positions in sugar as fundamentals remain bearish on the prospect of a large global surplus for this season," Davies noted.
By Friday on the LIFFE, the price per tonne of white sugar for August delivery eased to 334 dollars, from 340 dollars a week earlier.
RUBBER: Rubber prices fell in line with losses at the Tokyo Commodity Exchange (TOCOM), but a tight supply situation was expected to ease with drier weather in coming months.
On Friday, the Malaysian Rubber Board's benchmark SMR20 fell to 223.7 US cents per kilogramme, from 231.65 cents the previous week.
WOOL: Wool prices in major producer Australia hit season highs, with the four main indicators all rising above 10.0 Australian dollars a kilo for the first time since April 2003.
The Australian wool market finished 0.8 per cent higher on average this week, with the Eastern Index ending at 10.16 Australian dollars a kilo, compared with 10.08 Australian dollars the previous week.