Oil prices slump after run at $100
Sunday, 2 December 2007
LONDON, Dec 1 (AFP): Oil prices plunged this week on easing supply concerns despite coming close to breaching 100 dollars per barrel Monday, analysts said.
Speculation is mounting that oil exporters' cartel OPEC will decide to increase its output at a meeting next Wednesday and the rising dollar also helped bring down prices.
Elsewhere, precious metals fell across the board as the US dollar rebounded slightly.
OIL: At the start of the week, the market staged a fresh assault on 100 dollars as traders fretted over tight crude supplies globally.
New York crude rocketed as high as 99.11 dollars per barrel, which was a whisker away from the record 99.29 dollars struck the previous week.
By Friday, New York's main oil futures contract, light sweet crude for delivery in January, dived to 88.85 dollars a barrel, compared with 97.31 dollars a week earlier.
In London, Brent North Sea crude for January delivery tumbled to 88.68 dollars a barrel, from 94.43 dollars.
PRECIOUS METALS: The prices of precious metals sank as oil prices fell from recent heights and the US dollar clawed back some ground in the foreign exchange market.
On the London Bullion Market, gold prices fell to 783.50 dollars an ounce at Friday's late fixing, from 815.25 dollars a week earlier.
Silver prices slid to 14.23 dollars an ounce, from 14.55 dollars.
On the London Platinum and Palladium Market, platinum prices dived to 1,440 dollars an ounce at the late fixing Friday, from 1,475 dollars a week earlier.
Palladium prices fell to 349 dollars an ounce, from 353 dollars.
BASE METALS: Base metals prices mainly rose owing to strong quarterly economic growth data from key consumer the United States.
The US economy surged at a 4.9-per cent pace in the third quarter ahead of the impact of credit and housing ills, official data showed. That compared with the previous figure of 3.9 per cent.
On Friday, the price of copper for delivery in three months climbed to 7,045 dollars a tonne on the London Metal Exchange, from 6,690 dollars a week earlier.
Three-month aluminium prices rose to 2,514 dollars a tonne, from 2,485 dollars. Three-month nickel prices declined to 27,100 dollars a tonne, from 28,600 dollars.
Three-month lead prices rose to 3,022 dollars a tonne, from 2,900 dollars.
Three-month zinc prices increased to 2,556 dollars a tonne, from 2,240 dollars.
Three-month tin prices soared to 17,100 dollars a tonne, from 16,600 dollars.
COCOA: Cocoa prices crept higher in quiet trading conditions.
By Friday on the LIFFE, London's futures exchange, the price of cocoa for March delivery rose to 980 pounds a tonne, from 952 pounds Friday of the previous week.
On the New York Board of Trade (NYBOT), the March cocoa contract increased to 1,989 dollars a tonne, compared with 1,951 dollars at the close Wednesday November 21. The US market was shut last Thursday and Friday for the Thanksgiving holiday break.
COFFEE: Coffee prices were stable.
On the NYBOT, Arabica for March delivery rose to 130.20 US cents a pound, from 126.60 cents Wednesday of the previous week.
SUGAR: Sugar prices held steady.
By Friday on the LIFFE, the price per tonne of white sugar for March delivery edged down to 287.20 pounds, from 288.60 pounds Friday of the previous week.
On the NYBOT, the price of unrefined sugar for March delivery stood at 9.78 US cents a pound, unchanged from Wednesday of the previous week.
GRAINS AND SOYA: Prices were mixed after crude oil prices suffered heavy losses.
"Energy prices are sharply lower. That is bearish for corn, soyabean oil and soyabeans," said AG Edwards analyst Bill Nelson.
High oil prices, however, encourage demand for maize and soya because they are used in the production of biofuels-which are cheaper than crude.
By Friday on the Chicago Board of Trade, the price of maize for December delivery fell to 3.80 dollars a bushel, from 3.89 dollars Friday of the previous week.
Wheat for December delivery rose to 8.52 dollars a bushel, from 8.26 dollars Friday of the previous week.
January-dated soyabean meal-used in animal feed-declined to 10.82 dollars, from 11.00 dollars Friday of the previous week.
On the LIFFE, the price per tonne of wheat for May delivery rose to 176 pounds, from 162.50 pounds Friday of the previous week.
RUBBER: Rubber prices continued upwards due to supply concerns and uncertainty over high oil prices.
Rainy weather in Asian producing countries is hurting supplies, while crude oil is used to make synthetic rubber.
On Friday, the Malaysian Rubber Board's benchmark SMR20 rose to 237.30 US cents per kilogramme from 233.10 cents last week.
WOOL: The Australian wool market finished 0.6 per cent lower on average, despite strong demand from Europe and Asian nations China and India.
"There was a good spread of competition with buyers for Italy dominant in Newcastle and buyers for Europe. China and India also active across the country," the Australian Wool Industries Secretariat said.
The Eastern Index fell to 9.87 Australian dollars a kilo, from 9.92 Australian dollars a week earlier.
Speculation is mounting that oil exporters' cartel OPEC will decide to increase its output at a meeting next Wednesday and the rising dollar also helped bring down prices.
Elsewhere, precious metals fell across the board as the US dollar rebounded slightly.
OIL: At the start of the week, the market staged a fresh assault on 100 dollars as traders fretted over tight crude supplies globally.
New York crude rocketed as high as 99.11 dollars per barrel, which was a whisker away from the record 99.29 dollars struck the previous week.
By Friday, New York's main oil futures contract, light sweet crude for delivery in January, dived to 88.85 dollars a barrel, compared with 97.31 dollars a week earlier.
In London, Brent North Sea crude for January delivery tumbled to 88.68 dollars a barrel, from 94.43 dollars.
PRECIOUS METALS: The prices of precious metals sank as oil prices fell from recent heights and the US dollar clawed back some ground in the foreign exchange market.
On the London Bullion Market, gold prices fell to 783.50 dollars an ounce at Friday's late fixing, from 815.25 dollars a week earlier.
Silver prices slid to 14.23 dollars an ounce, from 14.55 dollars.
On the London Platinum and Palladium Market, platinum prices dived to 1,440 dollars an ounce at the late fixing Friday, from 1,475 dollars a week earlier.
Palladium prices fell to 349 dollars an ounce, from 353 dollars.
BASE METALS: Base metals prices mainly rose owing to strong quarterly economic growth data from key consumer the United States.
The US economy surged at a 4.9-per cent pace in the third quarter ahead of the impact of credit and housing ills, official data showed. That compared with the previous figure of 3.9 per cent.
On Friday, the price of copper for delivery in three months climbed to 7,045 dollars a tonne on the London Metal Exchange, from 6,690 dollars a week earlier.
Three-month aluminium prices rose to 2,514 dollars a tonne, from 2,485 dollars. Three-month nickel prices declined to 27,100 dollars a tonne, from 28,600 dollars.
Three-month lead prices rose to 3,022 dollars a tonne, from 2,900 dollars.
Three-month zinc prices increased to 2,556 dollars a tonne, from 2,240 dollars.
Three-month tin prices soared to 17,100 dollars a tonne, from 16,600 dollars.
COCOA: Cocoa prices crept higher in quiet trading conditions.
By Friday on the LIFFE, London's futures exchange, the price of cocoa for March delivery rose to 980 pounds a tonne, from 952 pounds Friday of the previous week.
On the New York Board of Trade (NYBOT), the March cocoa contract increased to 1,989 dollars a tonne, compared with 1,951 dollars at the close Wednesday November 21. The US market was shut last Thursday and Friday for the Thanksgiving holiday break.
COFFEE: Coffee prices were stable.
On the NYBOT, Arabica for March delivery rose to 130.20 US cents a pound, from 126.60 cents Wednesday of the previous week.
SUGAR: Sugar prices held steady.
By Friday on the LIFFE, the price per tonne of white sugar for March delivery edged down to 287.20 pounds, from 288.60 pounds Friday of the previous week.
On the NYBOT, the price of unrefined sugar for March delivery stood at 9.78 US cents a pound, unchanged from Wednesday of the previous week.
GRAINS AND SOYA: Prices were mixed after crude oil prices suffered heavy losses.
"Energy prices are sharply lower. That is bearish for corn, soyabean oil and soyabeans," said AG Edwards analyst Bill Nelson.
High oil prices, however, encourage demand for maize and soya because they are used in the production of biofuels-which are cheaper than crude.
By Friday on the Chicago Board of Trade, the price of maize for December delivery fell to 3.80 dollars a bushel, from 3.89 dollars Friday of the previous week.
Wheat for December delivery rose to 8.52 dollars a bushel, from 8.26 dollars Friday of the previous week.
January-dated soyabean meal-used in animal feed-declined to 10.82 dollars, from 11.00 dollars Friday of the previous week.
On the LIFFE, the price per tonne of wheat for May delivery rose to 176 pounds, from 162.50 pounds Friday of the previous week.
RUBBER: Rubber prices continued upwards due to supply concerns and uncertainty over high oil prices.
Rainy weather in Asian producing countries is hurting supplies, while crude oil is used to make synthetic rubber.
On Friday, the Malaysian Rubber Board's benchmark SMR20 rose to 237.30 US cents per kilogramme from 233.10 cents last week.
WOOL: The Australian wool market finished 0.6 per cent lower on average, despite strong demand from Europe and Asian nations China and India.
"There was a good spread of competition with buyers for Italy dominant in Newcastle and buyers for Europe. China and India also active across the country," the Australian Wool Industries Secretariat said.
The Eastern Index fell to 9.87 Australian dollars a kilo, from 9.92 Australian dollars a week earlier.