Oil hits nine-month peak, lead nails all-time high
Sunday, 24 June 2007
LONDON, June 23 (AFP): Crude oil prices reached their highest levels for nine months this week, before paring gains on news of rising energy stockpiles in the United States.
Base metal lead enjoyed yet another record peak as traders fretted over low global reserves.
The price of coffee in London, meanwhile, held close to a nine-year peak amid production problems in key exporter Vietnam.
OIL: Oil prices endured a volatile week after shooting to nine-month peaks Monday, before ending on a mixed note.
The strong gains were won mostly on concerns about tight gasoline supplies in the United States and unrest in Nigeria.
In London, Brent North Sea crude for August delivery reached 72.25 dollars per barrel, a price last seen on August 28, 2006.
New York's main oil futures contract, light sweet crude for delivery in July, soared to 69.05 dollars per barrel-the highest point since September 5, 2006.
GOLD: The price of gold eased, tracking fluctuations in the US dollar.
A strengthening dollar makes dollar-denominated commodities, such as gold, more expensive for buyers holding weaker currencies. On the London Bullion Market, gold dropped to 652.85 dollars an ounce at Friday's late fixing, from 653.10 dollars a week earlier.
SILVER: Silver prices advanced. Silver is a precious and an industrial metal, used to make jewellery and by the photographic and dentistry sector. On the London Bullion Market, silver gained to 13.15 dollars an ounce at Friday's late fixing, from 13.06 dollars a week earlier.
PLATINUM: The sister metals both shot higher, with palladium striking a one-month high amid the threat of industrial action in key producer South Africa.
Anglo Platinum, the world's biggest platinum producer, has failed thus far to meet wage demands of union leaders there.
BASE METALS: Base metal prices had a mixed week, but lead smashed another historic high.
Lead, which is used extensively for batteries and in the automotive industry, hit a record 2,550 dollars per tonne Thursday.
The prices of nickel, aluminium, zinc and tin declined as many traders began to question the strength of demand from economic powerhouse China.
Three-month aluminium prices edged lower to 2,709 dollars a tonne, from 2,716 dollars. Three-month nickel prices slumped to 37,550 dollars a tonne, from 40,900 dollars. Three-month lead prices rocketed to 2,505 dollars a tonne, from 2,353 dollars. Three-month zinc prices declined to 3,524 dollars a tonne, from 3,685 dollars. Three-month tin prices weakened to 13,875 dollars a tonne, from 14,100 dollars.
GRAINS, SOYA: Grains and soya prices beat a retreat, with wheat falling away from a recent eleven-year pinnacle.
Wheat had struck 6.07 dollars a bushel in Chicago last week the highest level since 1996 -- as producers Ukraine and Russia endured dry weather which hampered output.
COFFEE: Coffee prices were robust, trading around their highest level since 1998 in London.
"The market remains well supported by tight Robusta supply from Vietnam and rising demand," said Davies at the Sucden brokerage.
COCOA: Cocoa prices drifted lower as traders took profits from gains made the previous week.
However, prices were supported by market concerns over number one producer Ivory Coast, where unusually hot and dry weather at the start of the year has sparked market fears of a drop in production.
On the New York Board of Trade (NYBOT), the September contract slipped to 1,950 dollars a tonne, compared to 1,952 dollars for the July contract.
SUGAR: Sugar prices rebounded from recent losses. "London white sugar futures gained ground in light volume, underpinned by trade and speculative short covering," added Sucden's Davies. In previous weeks, prices had been weighed down by an abundance of sugar in the market, according to traders.
By Friday on the LIFFE, the price per tonne of white sugar for August delivery advanced to 319.40 dollars, from 305.60 dollars a week earlier.
RUBBER: The price of rubber fell as production rose on improving weather conditions, traders said.
"The weather is getting better -- (with) less rain-and production has increased," said an official from a rubber company who wished to remain anonymous.
Base metal lead enjoyed yet another record peak as traders fretted over low global reserves.
The price of coffee in London, meanwhile, held close to a nine-year peak amid production problems in key exporter Vietnam.
OIL: Oil prices endured a volatile week after shooting to nine-month peaks Monday, before ending on a mixed note.
The strong gains were won mostly on concerns about tight gasoline supplies in the United States and unrest in Nigeria.
In London, Brent North Sea crude for August delivery reached 72.25 dollars per barrel, a price last seen on August 28, 2006.
New York's main oil futures contract, light sweet crude for delivery in July, soared to 69.05 dollars per barrel-the highest point since September 5, 2006.
GOLD: The price of gold eased, tracking fluctuations in the US dollar.
A strengthening dollar makes dollar-denominated commodities, such as gold, more expensive for buyers holding weaker currencies. On the London Bullion Market, gold dropped to 652.85 dollars an ounce at Friday's late fixing, from 653.10 dollars a week earlier.
SILVER: Silver prices advanced. Silver is a precious and an industrial metal, used to make jewellery and by the photographic and dentistry sector. On the London Bullion Market, silver gained to 13.15 dollars an ounce at Friday's late fixing, from 13.06 dollars a week earlier.
PLATINUM: The sister metals both shot higher, with palladium striking a one-month high amid the threat of industrial action in key producer South Africa.
Anglo Platinum, the world's biggest platinum producer, has failed thus far to meet wage demands of union leaders there.
BASE METALS: Base metal prices had a mixed week, but lead smashed another historic high.
Lead, which is used extensively for batteries and in the automotive industry, hit a record 2,550 dollars per tonne Thursday.
The prices of nickel, aluminium, zinc and tin declined as many traders began to question the strength of demand from economic powerhouse China.
Three-month aluminium prices edged lower to 2,709 dollars a tonne, from 2,716 dollars. Three-month nickel prices slumped to 37,550 dollars a tonne, from 40,900 dollars. Three-month lead prices rocketed to 2,505 dollars a tonne, from 2,353 dollars. Three-month zinc prices declined to 3,524 dollars a tonne, from 3,685 dollars. Three-month tin prices weakened to 13,875 dollars a tonne, from 14,100 dollars.
GRAINS, SOYA: Grains and soya prices beat a retreat, with wheat falling away from a recent eleven-year pinnacle.
Wheat had struck 6.07 dollars a bushel in Chicago last week the highest level since 1996 -- as producers Ukraine and Russia endured dry weather which hampered output.
COFFEE: Coffee prices were robust, trading around their highest level since 1998 in London.
"The market remains well supported by tight Robusta supply from Vietnam and rising demand," said Davies at the Sucden brokerage.
COCOA: Cocoa prices drifted lower as traders took profits from gains made the previous week.
However, prices were supported by market concerns over number one producer Ivory Coast, where unusually hot and dry weather at the start of the year has sparked market fears of a drop in production.
On the New York Board of Trade (NYBOT), the September contract slipped to 1,950 dollars a tonne, compared to 1,952 dollars for the July contract.
SUGAR: Sugar prices rebounded from recent losses. "London white sugar futures gained ground in light volume, underpinned by trade and speculative short covering," added Sucden's Davies. In previous weeks, prices had been weighed down by an abundance of sugar in the market, according to traders.
By Friday on the LIFFE, the price per tonne of white sugar for August delivery advanced to 319.40 dollars, from 305.60 dollars a week earlier.
RUBBER: The price of rubber fell as production rose on improving weather conditions, traders said.
"The weather is getting better -- (with) less rain-and production has increased," said an official from a rubber company who wished to remain anonymous.