Oil hits record, base metals prices up
Monday, 23 June 2008
LONDON, June 22 (AFP): Oil prices raced to all-time highs of almost 140 dollars a barrel this week despite Saudi plans to increase output.
A weak US currency pushed up demand for crude and metals as they became cheaper for foreign buyers, traders said.
Oil: Crude prices reached historic peaks Monday despite UN Secretary General Ban Ki-moon announcing that Saudi Arabia would increase its oil output by 200,000 barrels per day (bpd) in July.
Saudi Arabia, the world's biggest exporter of oil, confirmed Thursday that it intended to raise output, but did not specify when the extra production would come on line.
New York's main oil futures contract, light sweet crude for July delivery, struck a record high of 139.89 dollars a barrel Monday. The same day, Brent North Sea crude for August reached a historic 139.32 dollars.
By Friday, New York's main oil futures contract, light sweet crude for July rose to 134.56 dollars a barrel from 133.74 dollars a week earlier. Brent North Sea crude for delivery in August climbed to 134.61 dollars from 133.75 dollars.
Precious Metals: Precious metals prices benefited from a weak dollar.
On the London Bullion Market, gold advanced to 907.50 dollars per ounce at Friday's late fixing from 866 dollars a week earlier. Silver increased to 17.74 dollars per ounce from 16.31 dollars.
On the London Platinum and Palladium Market, platinum climbed to 2,068 dollars per ounce at the late fixing Friday from 2,043 dollars a week earlier. Palladium rallied to 475 dollars per ounce from 450 dollars.
Base Metals: Base metals prices mostly rose, while traders eyed developments on the oil market.
"For the base metals the question is whether an oil price retreat will be seen as bullish (price supportive)," said BaseMetals.com analyst William Adams.
By Friday, copper for delivery in three months jumped to 8,330 dollars per tonne on the London Metal Exchange from 7,980 dollars a week earlier.
Three-month aluminium increased to 3,073 dollars per tonne from 2,945 dollars.
Three-month lead climbed to 1,811 dollars per tonne from 1,775 dollars.
Three-month zinc grew to 1,934 dollars per tonne from 1,900 dollars.
Three-month tin gained to 22,400 dollars per tonne from 21,000 dollars. Three-month nickel dropped to 22,200 dollars per tonne from 24,000 dollars.
Cocoa: Cocoa prices struck a 28-year high for a second week running in New York, lifted by the prospect of a weak harvest in top global producer Ivory Coast.
New York cocoa soared as high as 3,122 dollars a tonne, which was last seen in March 1980.
By Friday on LIFFE, London's futures exchange, the price of cocoa for September delivery rose to 1,648 pounds per tonne from 1,615 pounds a week earlier. On the New York Board of Trade (NYBOT), the September cocoa contract rallied to 3,086 dollars per tonne from 3,003 dollars.
Coffee: Coffee prices rebounded.
By Friday on LIFFE, Robusta for September delivery gained to 2,268 dollars per tonne from 2,200 dollars a week earlier.
On the NYBOT, Arabica for September delivery advanced to 140.45 US cents per pound from 134.30 cents.
Sugar: Sugar prices extended gains, lifted by soaring oil prices. The raw material is used in the production of ethanol, which is an alternative to motor fuel.
Grains, Soya: Grains prices firmed and soya steadied this week as investors tracked weather conditions in the US Midwest where the commodities are grown.
A weak US currency pushed up demand for crude and metals as they became cheaper for foreign buyers, traders said.
Oil: Crude prices reached historic peaks Monday despite UN Secretary General Ban Ki-moon announcing that Saudi Arabia would increase its oil output by 200,000 barrels per day (bpd) in July.
Saudi Arabia, the world's biggest exporter of oil, confirmed Thursday that it intended to raise output, but did not specify when the extra production would come on line.
New York's main oil futures contract, light sweet crude for July delivery, struck a record high of 139.89 dollars a barrel Monday. The same day, Brent North Sea crude for August reached a historic 139.32 dollars.
By Friday, New York's main oil futures contract, light sweet crude for July rose to 134.56 dollars a barrel from 133.74 dollars a week earlier. Brent North Sea crude for delivery in August climbed to 134.61 dollars from 133.75 dollars.
Precious Metals: Precious metals prices benefited from a weak dollar.
On the London Bullion Market, gold advanced to 907.50 dollars per ounce at Friday's late fixing from 866 dollars a week earlier. Silver increased to 17.74 dollars per ounce from 16.31 dollars.
On the London Platinum and Palladium Market, platinum climbed to 2,068 dollars per ounce at the late fixing Friday from 2,043 dollars a week earlier. Palladium rallied to 475 dollars per ounce from 450 dollars.
Base Metals: Base metals prices mostly rose, while traders eyed developments on the oil market.
"For the base metals the question is whether an oil price retreat will be seen as bullish (price supportive)," said BaseMetals.com analyst William Adams.
By Friday, copper for delivery in three months jumped to 8,330 dollars per tonne on the London Metal Exchange from 7,980 dollars a week earlier.
Three-month aluminium increased to 3,073 dollars per tonne from 2,945 dollars.
Three-month lead climbed to 1,811 dollars per tonne from 1,775 dollars.
Three-month zinc grew to 1,934 dollars per tonne from 1,900 dollars.
Three-month tin gained to 22,400 dollars per tonne from 21,000 dollars. Three-month nickel dropped to 22,200 dollars per tonne from 24,000 dollars.
Cocoa: Cocoa prices struck a 28-year high for a second week running in New York, lifted by the prospect of a weak harvest in top global producer Ivory Coast.
New York cocoa soared as high as 3,122 dollars a tonne, which was last seen in March 1980.
By Friday on LIFFE, London's futures exchange, the price of cocoa for September delivery rose to 1,648 pounds per tonne from 1,615 pounds a week earlier. On the New York Board of Trade (NYBOT), the September cocoa contract rallied to 3,086 dollars per tonne from 3,003 dollars.
Coffee: Coffee prices rebounded.
By Friday on LIFFE, Robusta for September delivery gained to 2,268 dollars per tonne from 2,200 dollars a week earlier.
On the NYBOT, Arabica for September delivery advanced to 140.45 US cents per pound from 134.30 cents.
Sugar: Sugar prices extended gains, lifted by soaring oil prices. The raw material is used in the production of ethanol, which is an alternative to motor fuel.
Grains, Soya: Grains prices firmed and soya steadied this week as investors tracked weather conditions in the US Midwest where the commodities are grown.