Wheat strikes record high, metals rebound
Sunday, 26 August 2007
LONDON, Aug 25 (AFP): Wheat prices hit an all-time high in Chicago on fierce global demand and flagging output.
Oil prices slid this week on fading supply fears and many metals prices rebounded as investors took their cue from the weakening US dollar and recovering equities.
Many commodities had fallen last week on fears of a global economic slowdown. Losses in the US subprime mortgage market-high-risk home loans to which many banks and investment funds are exposed-had spread and affected equity, commodity and foreign exchange trading since August 9.
OIL: Crude prices fell, despite a late burst Friday, as traders tracked fading US hurricane concerns and a surprise increase in American crude reserves.
New York's main oil futures contract, light sweet crude for delivery in October, sank to 70.64 dollars a barrel, compared with from 71.92 dollars for the September contract a week earlier.
GRAINS AND SOYA: The price of wheat in Chicago surged to an all- time closing high of 7.225 dollars a bushel Thursday, beating the previous record finish that was set in 1996.
By Friday on the Chicago Board of Trade, the price of maize for September delivery rose to 3.43 dollars a bushel, from 3.28 dollars a week earlier.
Wheat for September delivery rocketed to 7.2350 dollars a bushel in intra-day trade, from 6.72 dollars the previous week.
September-dated soyabean meal-used in animal feed-advanced to 8.44 dollars, from 8.11 dollars.
On the LIFFE, the price per tonne of wheat for May delivery jumped to 163.50 pounds, from 155.00 pounds a week earlier.
PRECIOUS METALS: Gold and silver prices rose but platinum and palladium eased off.
A falling US currency ramps up demand for dollar-denominated commodities, such as gold, as they become cheaper for buyers holding other currencies.
The European single currency jumped Friday above 1.36 dollars as many investors switched away from the US currency amid calmer global financial markets.
On the London Bullion Market, gold advanced to 660.85 dollars an ounce at Friday's late fixing, from 657.50 dollars a week earlier.
Silver rose to 11.70 dollars an ounce, from 11.69 dollars.
On the London Platinum and Palladium Market, platinum eased to 1,240 dollars an ounce at the late fixing Friday, from 1,245 dollars a week earlier.
Palladium decreased to 323 dollars an ounce, from 334 dollars.
BASE METALS: The prices of base metals rebounded as world equity markets recovered ground and amid signs of strengthening demand from economic powerhouse China.
On Friday, the price of copper for delivery in three months soared to 7,198 dollars a tonne on the London Metal Exchange, from 6,930 dollars a week earlier. Three-month aluminium prices rose to 2,521.75 dollars a tonne, from 2,498 dollars.
Three-month nickel prices jumped to 27,099 dollars a tonne, from 25,900 dollars.
Three-month lead prices surged to 3,185 dollars a tonne, from 2,498 dollars.
Three-month zinc prices gained to 3,090 dollars a tonne, from 3,075 dollars.
Three-month tin prices leapt to 14,374 dollars a tonne, from 13,565 dollars.
SUGAR: Sugar prices held steady as traders digested a key sector report.
India was on course to overtake Brazil as the world's biggest sugar producer in 2007/2008, the International Sugar Organisation forecast Friday.
Global sugar output, meanwhile, was predicted to outpace demand by a record 10.8 million tonnes in the crop year ending September 2008.
Total sugar production was forecast to stand at a record 169.6 million tonnes.
By Friday on the LIFFE, the price a tonne of white sugar for October delivery edged up to 281 pounds, from 280.50 pounds a week earlier.
On the NYBOT, the price of unrefined sugar for October delivery increased to 9.53 US cents a pound, from 9.37 cents a week earlier.
COCOA: Cocoa prices fell to a six-week low in London, but found limited support in New York owing to the weak US currency.
By Friday on the LIFFE, London's futures exchange, the price of cocoa for December delivery dropped to 937 pounds a tonne, from 950 pounds a week earlier.
On the New York Board of Trade (NYBOT), the September contract firmed to 1,784 dollars a tonne, from 1,757 dollars the previous Friday.
COFFEE: Coffee prices stabilised in quiet trading.
By Friday on the LIFFE, Robusta quality for November delivery firmed to 1,711 dollars a tonne, from 1,693 dollars one week earlier.
On the NYBOT, Arabica for December delivery eased to 118.95 US cents a pound, from 119.75 cents.
RUBBER: Rubber prices advanced due to unexpected poor weather conditions which cut supplies from key producers Malaysia and Thailand.
On Friday, the Malaysian Rubber Board's benchmark SMR20 increased to 204.35 US cents per kilogramme, from 200.80.
WOOL: Wool prices rose in major producer Australia despite volatility on global financial markets.
The Australian wool market finished the week 1.9 per cent higher on average, with the Eastern Index closing up 10 cents, or 1.1 per cent, at 9.35 dollars a kilo.
Oil prices slid this week on fading supply fears and many metals prices rebounded as investors took their cue from the weakening US dollar and recovering equities.
Many commodities had fallen last week on fears of a global economic slowdown. Losses in the US subprime mortgage market-high-risk home loans to which many banks and investment funds are exposed-had spread and affected equity, commodity and foreign exchange trading since August 9.
OIL: Crude prices fell, despite a late burst Friday, as traders tracked fading US hurricane concerns and a surprise increase in American crude reserves.
New York's main oil futures contract, light sweet crude for delivery in October, sank to 70.64 dollars a barrel, compared with from 71.92 dollars for the September contract a week earlier.
GRAINS AND SOYA: The price of wheat in Chicago surged to an all- time closing high of 7.225 dollars a bushel Thursday, beating the previous record finish that was set in 1996.
By Friday on the Chicago Board of Trade, the price of maize for September delivery rose to 3.43 dollars a bushel, from 3.28 dollars a week earlier.
Wheat for September delivery rocketed to 7.2350 dollars a bushel in intra-day trade, from 6.72 dollars the previous week.
September-dated soyabean meal-used in animal feed-advanced to 8.44 dollars, from 8.11 dollars.
On the LIFFE, the price per tonne of wheat for May delivery jumped to 163.50 pounds, from 155.00 pounds a week earlier.
PRECIOUS METALS: Gold and silver prices rose but platinum and palladium eased off.
A falling US currency ramps up demand for dollar-denominated commodities, such as gold, as they become cheaper for buyers holding other currencies.
The European single currency jumped Friday above 1.36 dollars as many investors switched away from the US currency amid calmer global financial markets.
On the London Bullion Market, gold advanced to 660.85 dollars an ounce at Friday's late fixing, from 657.50 dollars a week earlier.
Silver rose to 11.70 dollars an ounce, from 11.69 dollars.
On the London Platinum and Palladium Market, platinum eased to 1,240 dollars an ounce at the late fixing Friday, from 1,245 dollars a week earlier.
Palladium decreased to 323 dollars an ounce, from 334 dollars.
BASE METALS: The prices of base metals rebounded as world equity markets recovered ground and amid signs of strengthening demand from economic powerhouse China.
On Friday, the price of copper for delivery in three months soared to 7,198 dollars a tonne on the London Metal Exchange, from 6,930 dollars a week earlier. Three-month aluminium prices rose to 2,521.75 dollars a tonne, from 2,498 dollars.
Three-month nickel prices jumped to 27,099 dollars a tonne, from 25,900 dollars.
Three-month lead prices surged to 3,185 dollars a tonne, from 2,498 dollars.
Three-month zinc prices gained to 3,090 dollars a tonne, from 3,075 dollars.
Three-month tin prices leapt to 14,374 dollars a tonne, from 13,565 dollars.
SUGAR: Sugar prices held steady as traders digested a key sector report.
India was on course to overtake Brazil as the world's biggest sugar producer in 2007/2008, the International Sugar Organisation forecast Friday.
Global sugar output, meanwhile, was predicted to outpace demand by a record 10.8 million tonnes in the crop year ending September 2008.
Total sugar production was forecast to stand at a record 169.6 million tonnes.
By Friday on the LIFFE, the price a tonne of white sugar for October delivery edged up to 281 pounds, from 280.50 pounds a week earlier.
On the NYBOT, the price of unrefined sugar for October delivery increased to 9.53 US cents a pound, from 9.37 cents a week earlier.
COCOA: Cocoa prices fell to a six-week low in London, but found limited support in New York owing to the weak US currency.
By Friday on the LIFFE, London's futures exchange, the price of cocoa for December delivery dropped to 937 pounds a tonne, from 950 pounds a week earlier.
On the New York Board of Trade (NYBOT), the September contract firmed to 1,784 dollars a tonne, from 1,757 dollars the previous Friday.
COFFEE: Coffee prices stabilised in quiet trading.
By Friday on the LIFFE, Robusta quality for November delivery firmed to 1,711 dollars a tonne, from 1,693 dollars one week earlier.
On the NYBOT, Arabica for December delivery eased to 118.95 US cents a pound, from 119.75 cents.
RUBBER: Rubber prices advanced due to unexpected poor weather conditions which cut supplies from key producers Malaysia and Thailand.
On Friday, the Malaysian Rubber Board's benchmark SMR20 increased to 204.35 US cents per kilogramme, from 200.80.
WOOL: Wool prices rose in major producer Australia despite volatility on global financial markets.
The Australian wool market finished the week 1.9 per cent higher on average, with the Eastern Index closing up 10 cents, or 1.1 per cent, at 9.35 dollars a kilo.