Wed, Sep 28, 2016
A A A
Welcome vaishu
RSS

Commodities Briefing - Category | Trading more

Currency Trader, Police Thyself

Posted on 03 June 2016 by VRS  |  Email |Print

Last week, a working group at the Bank of International Settlements issued a new code of conduct governing global currency trading, a response to the most recent price-fixing scandal in the foreign-exchange markets.
The document contains non-binding “principles” that are entirely voluntary — general guidelines for good behavior. Cynics could be forgiven for dismissing this as an empty gesture that lacks the coercive rules and punishments required to make global standards stick………………………………………..Full Article: Source

Has the bull market for commodities begun?

Posted on 02 June 2016 by VRS  |  Email |Print

The bear market for commodities is over and it is time for investors to focus on this asset class again, according to a commodities analyst. Goeff Blanning, head of commodities at Schroders Asset Management thinks that a new bull market for commodities has begun.
“Following five years of devastatingly poor returns in the market, sentiment towards commodities is at rock bottom, but it’s starting to turn following the surge in the prices of a wide variety of products since the beginning of the year,” he said, adding that the biggest price gains, in percentage terms, occur at the beginning of a bull market………………………………………..Full Article: Source

Oil Price Forecasts Get More Bullish as Oversupply Concerns Ease

Posted on 01 June 2016 by VRS  |  Email |Print

Analysts are again raising their oil-price forecasts, in a reflection of falling concerns over the glut in crude supply. That helps relieve the pressure on members of the Organization of the Petroleum Exporting Countries—who are set to meet on Thursday—following months of fervent debate over production levels within the cartel.
Investment banks surveyed by The Wall Street Journal raised their price forecast for the third consecutive month in May, predicting that Brent crude, the international benchmark, would average $43 a barrel in 2016. That is up $2 from April’s survey………………………………………..Full Article: Source

Deutsche Bank Woes Infect Currency Trading as Former No. 1 Sinks

Posted on 25 May 2016 by VRS  |  Email |Print

A tough week for Deutsche Bank AG just got worse. The German lender’s share of the $5.3 trillion-a-day currency market tumbled to 7.9 percent, down from 14.5 percent a year earlier, according to a Euromoney Institutional Investor Plc survey.
The bank is the world’s fourth-largest currency trader by market share, sliding from second place in Euromoney’s 2015 ranking after holding the top position from 2005 to 2013. That’s the second blow for Deutsche Bank in as many days, after Moody’s Investors Service on Monday cut the lender’s credit rating to two grades above junk………………………………………..Full Article: Source

Commodities on the rise?

Posted on 24 May 2016 by VRS  |  Email |Print

Are commodities finally on the rise after years of being in the doldrums? We would all agree that prices in the grocery store continue to rise on many things, but commodity tracking indexes show quite a different story.
The most common method of tracking commodity prices is the CRB commodity index, a commodities future price index which presently tracks 19 common commodities, which include aluminum, cocoa, coffee, copper, corn, cotton, crude oil, gold, heating oil, lean hogs, live cattle, natural gas, nickel, orange juice, silver, soybeans, sugar, unleaded gas and wheat………………………………………..Full Article: Source

Chinese commodities fall on oversupply concerns

Posted on 20 May 2016 by VRS  |  Email |Print

Most Chinese commodities futures fell on Thursday, amid cautious sentiment caused by a supply glut for some industrial metals and a possible U.S. interest rate hike. Some traders are concerned that China’s own interest rate easing cycle could be over, limiting the prospects for the world’s No. 2 economy and prompting investors to become bearish on commodities amid concerns on demand recovery.
Chinese steel and iron ore futures dropped by more than 2 percent, as demand is faltering seasonally. However, steel mills are still picking up production because of rising prices earlier this year, worsening a supply glut that led to accusations China is dumping low-price steel onto global markets………………………………………..Full Article: Source

Where Oil Production Is Set To Soar… And It’s Not OPEC

Posted on 19 May 2016 by VRS  |  Email |Print

Oil prices have been on the rise lately and the market appears to be heading very quickly toward rebalancing, which is very positive for long-oriented investors in this space. While this is all true, however, one area will make any such oil recovery harder than it otherwise would be.
This is the Gulf of Mexico, which is the one place for U.S. production where low prices have not caused output to crash………………………………………..Full Article: Source

EU ministers approve final commodity price benchmark rules

Posted on 18 May 2016 by VRS  |  Email |Print

EU ministers Tuesday approved the final text of EU rules that will govern all benchmarks used to price financial instruments, including commodity price benchmarks, on behalf of the EU Council. The rules will apply to commodity price benchmarks produced by price reporting agencies such as S&P Global Platts.
This was the last formal approval needed, after the European Parliament approved on April 28 a text already agreed informally with the council and the European Commission. The next step is for the text to be translated into all the EU’s official languages and published in the EU’s Official Journal, becoming binding a day later………………………………………..Full Article: Source

Commodities bounce back—sustainable rally or just a false dawn?

Posted on 17 May 2016 by VRS  |  Email |Print

An uptick in prices across a range of commodities in 2016 may have been welcomed by miners and traders, but one CEO has told CNBC that he’s not getting carried away just yet. “They always say ‘a swallow doesn’t make a summer’,” Ben Magara, the CEO of London-listed platinum miner Lonmin said.
“We have seen dollar prices improve from a low in January to where they are now so the trend is quite encouraging … we have seen that rand low price in November and it continues on that upward trend. Indeed, it’s early days a swallow doesn’t make a summer but it’s very helpful.”……………………………………….Full Article: Source

Non-OPEC countries expected to reduce oil supply

Posted on 16 May 2016 by VRS  |  Email |Print

Non-OPEC countries are expected to reduce oil supply by 0.74 million barrels per day and bring it to 56.4 million barrels per day in 2016 as compared to 57.14 million barrels a day in 2015, according to OPEC’s monthly report on the oil market.
The oil supply by those countries will reach 56.06 million barrels per day in the second quarter of 2016, 56.04 million barrels per day in the third quarter, and 56.55 million barrels per day in the fourth quarter of 2016. The world oil supply rose by 0.02 million barrels per day in April and stood at 95.34 million barrels per day, according to the OPEC report………………………………………..Full Article: Source

Iraq overtakes Saudi Arabia as biggest oil exporter to India in April

Posted on 13 May 2016 by VRS  |  Email |Print

Iraq overtook Saudi Arabia as the top crude exporter to India in April for the first time since December, according to data compiled by Reuters, as the two biggest OPEC producers fight for market share in Asia’s fastest growing oil market.
Saudi Arabia also lost its top spot in China, Asia’s biggest oil consumer, last month when Russia overtook the world’s biggest crude exporter due to strong purchases by Chinese independent refineries. Overall, April oil imports by India rose 6 percent from March and are up 9.9 percent in the first four months from a year ago………………………………………..Full Article: Source

Bulk shipping falters as commodities stumble

Posted on 13 May 2016 by VRS  |  Email |Print

Higher iron ore inventories at Chinese ports could well weigh on demand in the coming days and reflect in the index performance. The Baltic Dry Index (BDI) has been notoriously volatile this year. After touching an all-time low of 290 points on 10 February, the index shot up to 715 on 27 April. But, since then, it has declined 17% till 10 May.
What gives? For one, the drop to the lowest level in the index, which tracks transport costs on international trade routes for dry bulk commodities such as coal and iron ore, was overdone. Two, the Chinese stimulus held out hopes of higher demand for commodities, especially steel and iron ore………………………………………..Full Article: Source

China: Commodities trading: Trading account applications up 30%

Posted on 12 May 2016 by VRS  |  Email |Print

Many retail investors in China are trying to get into the commodities market as a rebound in prices continues. And, not too surprisingly, brokerage firms in China are enjoying a jump in account applications.
One needs to complete a web-based video verification as part of the application to open a commodity futures trading account. It’s a process that more and more people are lining up for as they seek to get into the game. Futures brokers say their systems are a bit overloaded with new applications and only one in five people can get through right now………………………………………..Full Article: Source

Japan’s Biggest Traders See No Commodities Recovery in Sight

Posted on 11 May 2016 by VRS  |  Email |Print

Japan’s top trading houses see no recovery on the horizon for the commodities crash that forced some of the first-ever annual losses by the champions of the nation’s economy, accelerating their shift away from energy and raw materials.
The country’s five biggest traders all expect further declines in oil, which has already slumped about 60 percent over the past two years. Mitsubishi Corp. sees prices sliding 19 percent in the current fiscal year, while rival Mitsui & Co. sees a 15 percent decline. Itochu Corp. sees Brent, the global benchmark, slumping almost 29 percent………………………………………..Full Article: Source

China: Commodities imports drop

Posted on 09 May 2016 by VRS  |  Email |Print

China’s imports of commodities fell in April from the previous month as domestic demand weakened, data released yesterday by the General Administration of Customs showed.
Copper imports fell 20.5 percent month on month while those of steel, coal and iron ore dropped 13.4, 4.57 and 2.7 percent respectively. Copper imports fell as China accounted for 78 percent of the global supply and domestic demand eased………………………………………..Full Article: Source

China’s commodities trading frenzy fades

Posted on 06 May 2016 by VRS  |  Email |Print

The fever that’s gripped Chinese commodity markets is easing. Speculators who traded 1.7 trillion yuan ($336-billion) futures in a single day last month have retreated as fast as they advanced. Trading volumes across the country’s three biggest exchanges are more than half of what they were at their peak on April 22 and back to levels similar to a year ago, according to data compiled by Bloomberg.
The amount of money changing hands on a daily basis has shrunk to $114-billion (U.S.). The slowdown marks a return toward normality after a frenzy that drew comparisons with the credit-driven stock market rally last year that preceded a $5-trillion rout………………………………………..Full Article: Source

Oil Market at Crossroads as Big Rally Masks Risks Lurking Ahead

Posted on 06 May 2016 by VRS  |  Email |Print

If the oil market needed a theme song for now, it might turn to the one where Taylor Swift nervously sings: “Are we out of the woods yet?” A slump in U.S. production, unexpected cuts in output from Nigeria to Colombia and rising gasoline demand have helped drive a major rally since mid-February. As investors boost their bullish bets, analysts from UBS Group AG to Morgan Stanley and Goldman Sachs Group Inc. see pitfalls ahead.
The global crude glut has spread to diesel and will threaten gasoline after the peak summer driving season. Unplanned outages may be resolved in coming months, boosting supplies as Iran seeks to regain market share and Saudi Arabia defends its turf………………………………………..Full Article: Source

World’s first diamond trading exchange going live from today

Posted on 05 May 2016 by VRS  |  Email |Print

The Singapore Diamond Investment Exchange (SDiX), the world’s first and only commodity exchange trading in physically settled diamonds, is going live from Thursday. This could change the way diamonds are traded.
At present, trading is done after viewing diamonds and usually one on one. Once the exchange picks up, it will be portal-based and with transparent pricing. This could also bring investors into diamonds………………………………………..Full Article: Source

China’s commodity trading curbs are working, at least for now: Russell

Posted on 03 May 2016 by VRS  |  Email |Print

It’s sometimes tempting to take a Western view of China and conclude that Beijing’s attempts to limit speculation in commodity futures in order to prevent price bubbles are ill-advised and ultimately doomed to failure.
It’s likely that market participants schooled in the Western ethos of light-touch regulation will baulk at China’s latest attempt to force the market, in this case for commodities, to behave in the fashion deemed appropriate by the authorities………………………………………..Full Article: Source

Agricultural Commodities Egged On by China’s Futures Frenzy

Posted on 03 May 2016 by VRS  |  Email |Print

The recent fevered commodities trading in China hasn’t been limited to iron ore. Investors have piled into futures for everything from wheat and cotton to eggs and asphalt. As with industrial metals, analysts reckon much of the interest is coming from speculative investors who have been turned off to China’s stock markets by tighter rules over trading.
“Chinese speculators didn’t want to buy into the equity market with all the curbs, so they jumped into the commodity markets and it seems they’ve done so in massive style,” said Michael Coleman, managing director at RCMA Asset Management Pte………………………………………..Full Article: Source

Cotton Trades in China Hit Highest in Five Years, Enough to Make Jeans for Billions

Posted on 03 May 2016 by VRS  |  Email |Print

The volume of cotton traded in a single day on the Zhengzhou Commodity Exchange last week reached the equivalent of 41 million bales, enough to produce about 9 million pairs of jeans or at least one for every person on the planet, according to a Bloomberg report.
The report said that prices rose almost 19 percent in four days before the trading spike on Friday, April 22, while it registered its lowest price in February. Commodity exchanges have boosted margins and fees or warned investors as trade volumes in Chinese commodity markets soared, which reminded traders of the equities rally last year……………………………………….Full Article: Source

Beijing’s controls on speculative commodities trading are likely to increase

Posted on 02 May 2016 by VRS  |  Email |Print

Investors will be looking at Beijing’s efforts to rein in the latest outburst of speculative trading in Chinese commodity markets with a mixture of trepidation and dread. That’s because the surge in speculative trading in China’s commodity futures exchanges, and the vertiginous rise in prices, is worryingly reminiscent of the Chinese share market before the bubble burst in the middle of last year.
In the past month, Chinese retail investors and fund managers have flocked to the country’s commodity futures markets. On many days, trading in some commodity future contracts, such as iron ore, has been so large that it has topped the country’s annual imports………………………………………..Full Article: Source

Oil could trade above $60 in 2017: report

Posted on 02 May 2016 by VRS  |  Email |Print

Oil supply growth by Opec countries will not match the output declines being experienced by non-Opec producers and this could lead to higher crude prices next year, says a report. To balance the oil market by 2020, US oil and gas capex will have to increase by at least 50 per cent, leading oil prices to trade above the current forward strip and into a $55-70 per barrel range, said the report by Bank of America Merrill Lynch (BofAML) titled “Global Energy Weekly: The oil supply cliffhanger”.
There is still a large set of drilled but uncompleted shale wells that could come on stream over the next few months and US companies are expected to play a role in stabilizing non-Opec supplies, it explained………………………………………..Full Article: Source

Chinese Commodity Speculators Drop Out After $261 Billion Binge

Posted on 29 April 2016 by VRS  |  Email |Print

The speculators that traded $261 billion in Chinese commodities in a single day last week are retreating as regulators prepare to step up control of the market.
The value of futures traded across China’s three biggest commodity exchanges has shrunk 42 percent since investors spent 1.7 trillion yuan last Thursday on everything from steel bars to eggs. The amount that changed hands was on a par with the entire U.S. equities market on the same day………………………………………..Full Article: Source

Who are gold traders?

Posted on 29 April 2016 by VRS  |  Email |Print

The Commitments of Traders Report is one of the most important publications on the gold market. It is usually published every Friday at 15:30 Eastern time by the Commodity Futures Trading Commission (CFTC) to provide market participants “a breakdown of each Tuesday’s open interest for markets in which 20 or more traders hold positions equal to or above the reporting levels established by the CFTC.”
Unfortunately the readers don’t get a full picture because of a three day lag between a report and the actual positioning of traders (though the report is issued on Friday, it contains Tuesday’s data). The open interest, analyzed in the report, is the total number of futures contracts not yet liquidated by an offsetting transaction or fulfilled by delivery………………………………………..Full Article: Source

How Shanghai trading is changing the physical nickel market

Posted on 29 April 2016 by VRS  |  Email |Print

Everyone’s talking about Chinese speculators. This year has seen an unprecedented surge of trading volumes and open interest in Chinese markets as institutional and retail investors pour money into commodities.
Both the Shanghai Futures Exchange (ShFE) and the Dalian Exchange are upping margin requirements and transaction fees to try and calm overheating contracts such as steel rebar and iron ore. The stampede appears to have been halted with both prices and trading activity losing some of their recent froth. But the current trading frenzy shouldn’t distract from the growing global influence of China’s domestic commodity exchanges………………………………………..Full Article: Source

Steel Speculation Obscures Signals About Chinese Economy

Posted on 27 April 2016 by VRS  |  Email |Print

Investors searching for clues about China’s economy have looked to commodities like iron ore and rebar as a sign of industrial health. Now, speculation in the market is obscuring those signals, some say.
Trading of iron ore futures on the Dalian exchange is up fivefold from a year ago, according to Goldman Sachs Group Inc. Volumes during two days in the past month surpassed the amount of iron ore actually imported by China last year, the bank’s analysts say………………………………………..Full Article: Source

Chinese commodity curbs hit iron and steel futures

Posted on 27 April 2016 by VRS  |  Email |Print

China’s heavily traded iron ore and steel futures slid Tuesday after curbs aimed to cut speculation came into effect. The most active iron ore contract on the Dalian Commodity Exchange closed down 6 per cent at 450.5 yuan a tonne, while steel rebar futures dropped 3.8 per cent to close at 2,554 yuan a tonne.
A wave of money has entered China’s commodities markets this month, on improved demand in the steel industry and expectations that China’s government would boost property and infrastructure construction………………………………………..Full Article: Source

China’s commodities rebound: it’s for real

Posted on 26 April 2016 by VRS  |  Email |Print

Recent signs of a revival in Chinese demand for commodities such as iron ore have been met with scepticism. But there may be stronger grounds for optimism than many think, according to analysis by FT Confidential Research, a unit of the Financial Times.
Behind the argument against a recovery in China’s demand is the idea that the structure of its economy has changed to one that uses substantially smaller amounts of commodities. Proponents of this view argue that the economy is shifting from one driven by fixed-asset investment and industrial output, to less commodity-intensive areas such as consumer spending and services………………………………………..Full Article: Source

Morgan Stanley Says China Commodity Jump Stuns World Markets

Posted on 26 April 2016 by VRS  |  Email |Print

The recent spike in speculative trading in commodities in China has stunned global markets, according to Morgan Stanley, which cited a jump in local activity for steel, iron ore and cotton as well as eggs and garlic. “Now China’s speculators engage commodities,” analysts including Tom Price and Joel Crane said in an e-mailed note on Monday. “China’s latest speculative spike has stunned global markets.”
Trading in China of commodity derivatives including steel rebar surged last week after data showing a rise in credit in the world’s top commodity user spurred speculation that prices may extend gains as demand improved………………………………………..Full Article: Source

China clamps down on commodities frenzy

Posted on 26 April 2016 by VRS  |  Email |Print

China moved to clamp down on excessive speculation in commodities on Monday after weeks of frenzied trading boosted prices and ignited fears of another bubble in its domestic markets. Activity on China’s largest commodity exchanges has surged in recent days with turnover in key steel contracts exceeding the combined volume of the Shanghai and Shenzhen stock exchanges on one day last week.
Investors around the world have zeroed in on the latest trading binge as the prices of many commodities have risen sharply, with iron ore gaining almost a third in just two weeks………………………………………..Full Article: Source

Bullish Sentiment On Commodities Remains Tentative

Posted on 25 April 2016 by VRS  |  Email |Print

The commodity squeeze higher continues as nearly all sectors are seeing better pricing despite the continued oversupply and less than stellar global economic performance. The shift seems to be driven by the crude oil recovery following the failed attempt at a unilateral production freeze at the beginning of last week.
That bearish news was brushed aside almost immediately, as the market spent the majority of the week trading higher on some sketchy fundamentals. The strike in Kuwait that reduced production has already ended, and any future hope for a production agreement at the June OPEC meeting appears to be empty speculation as the key players continue to threaten production increases………………………………………..Full Article: Source

Citigroup’s commodity trading gross profit rises 50%

Posted on 25 April 2016 by VRS  |  Email |Print

Citigroup has reaped the benefits of investing in its commodities business as rivals pull back, cementing its position as one of the leading investment banks that generate hundreds of millions of dollars from trading raw materials.
Citi generated $850m in gross profit from commodities trading last year, up by about 50 per cent compared to 2014, according to three people familiar with the situation, on the back of volatile markets and the oil price rout………………………………………..Full Article: Source

Commodities Make a Comeback as Bad Weather Meets Chinese Demand

Posted on 22 April 2016 by VRS  |  Email |Print

Commodities are roaring back. Soybeans are approaching a bull market on bad weather in South America, and silver crossed that threshold earlier this week. Iron ore jumped above $70 a metric ton and copper is near a one-month high on signs of improving Chinese demand. A Vietnam drought boosted coffee prices. Oil is trading near levels not seen in five months.
Put it all together, the Bloomberg Commodity Index is up 15 percent since Jan. 20 and heading for a third week of gains. The gauge, which tracks returns for 22 raw materials, slipped 0.2 percent on Thursday as oil, coffee and nickel retreated………………………………………..Full Article: Source

Why you need to ‘stay away’ from gold

Posted on 21 April 2016 by VRS  |  Email |Print

Investors and traders have gone for gold in the past few months, but some analysts warn that the metal could be set for a drop. “Gold is a notoriously difficult trade,” said Eddy Elfenbein, editor of the Crossing Wall Street blog. “It’s a highly speculative bet on the direction of short term interest rates, real rates, and I think with the Fed where they are right now and with the last inflation report, I don’t think real rates are going to go any lower for the rest of the year.”
Gold lost a third of its value between the start of 2013 and the end of 2015. But in 2016, the metal has become a highly sought after commodity, as the Federal Reserve has avoided tightening interest rates, and the dollar has turned a bit lower………………………………………..Full Article: Source

Switzerland – A trading paradise?

Posted on 20 April 2016 by VRS  |  Email |Print

How do Swiss-based commodities giants Glencore or Vale operate in the field and what are the consequences of their work for those living there? A new documentary by respected Swiss director Daniel Schweizer takes a rare look behind the scenes of this industry.
“Today some of the biggest extraction and trading firms are based between Geneva, Zug and Lausanne. Switzerland has a great responsibility accepting them here and monitoring them so little,” declared Schweizer at the world premiere of his new documentary Trading Paradise, shown at the Visions du Réel film festival in Nyon last weekend………………………………………..Full Article: Source

Is the commodities rebound over?

Posted on 19 April 2016 by VRS  |  Email |Print

The collapse of talks in Doha on April 17 among major oil producers aimed at freezing output levels and curbing the global supply glut has renewed broader concerns about the state of the global commodities market.
The meeting of the Organization of the Petroleum Exporting Countries as well as non-OPEC oil producing nations in the Qatari capital was called to freeze oil production at the levels of early 2016, an agreement that would have been the first global oil deal in about 15 years. But Iran’s withdrawal from the talks at the last minute triggered Saudi Arabia’s refusal to sign the draft agreement to halt production at January levels………………………………………..Full Article: Source

Commodity futures lead charge in exchange-traded derivatives

Posted on 19 April 2016 by VRS  |  Email |Print

Exchanges hope to capture a larger share of derivatives trading, on demand from emerging markets. Trading in commodity and currency derivatives surged on the world’s exchanges last year as traders in emerging economies used futures to hedge themselves against rising market volatility.
Overall volumes for exchange-traded derivatives rose 12 per cent to 23.4bn contracts in 2015, the first increase in four years, according to annual data collated by the World Federation of Exchanges, a trade association for 200 market infrastructure operators………………………………………..Full Article: Source

China Captures Top Growth in Commodity Trading After 2015 Rout

Posted on 19 April 2016 by VRS  |  Email |Print

China’s commodities exchanges got a boost from last year’s rout in raw-material prices as investors piled into bets on everything from steel and soybean meal to iron ore.
Trading in commodities on the Dalian Commodity Exchange and the Shanghai Futures Exchange surged to more than 1 billion contracts last year, according to the World Federation of Exchanges. Trading in Dalian climbed 45 percent last year as the Shanghai transactions rose 25 percent in 2015, the group said in a report released Monday………………………………………..Full Article: Source

Senate committee approves authorization for U.S. commodities regulator

Posted on 15 April 2016 by VRS  |  Email |Print

The U.S. Senate Agriculture Committee on Thursday approved a reauthorization of the Commodity Futures Trading Commission, nearly three years after the legislative authority for the country’s commodities and swaps regulator expired. The head of the CFTC, Timothy Massad, praised the committee for clearing the way for the full Senate to vote on authorization.
“I am committed to continuing to work with Congress throughout this process, particularly on making sure end-users like agricultural producers can continue to safely and affordably use the derivatives markets, while ensuring these markets do not generate excessive risk to our financial system,” he said in a statement………………………………………..Full Article: Source

China’s Appetite for Commodities Shoots Up

Posted on 14 April 2016 by VRS  |  Email |Print

Imports by China overall were down in March year-on-year, but copper, soybeans and oil stood out as winners. China’s better than expected trade data for March drove prices of copper and other industrial metals higher Wednesday, though concerns continued to linger about excess supplies.
The world’s second-largest economy imported 39% more copper in March than in the same month last year, China customs data showed. Imports of soybeans, used for cooking oil and pig feed, shot up 36% in March year over year………………………………………..Full Article: Source

Base metals lift on good China trade data

Posted on 14 April 2016 by VRS  |  Email |Print

Zinc has surged to an eight-month peak and other metals also gained after Chinese trade data brightened the outlook for demand in the world’s biggest metals consumer, prompting some investors to shift back to commodities.
Price gains in zinc and other industrial metals had a snowball effect as they pushed through key levels, sparking more buying by speculators based on technical signals, traders said. The initial catalyst was data showing that China’s exports in March returned to growth for the first time in nine months, adding to further signs of stabilisation in the world’s second-largest economy that cheered regional investors………………………………………..Full Article: Source

World’s Top Traders Say the Worst Is Over for Oil

Posted on 13 April 2016 by VRS  |  Email |Print

Top executives at the world’s largest oil-trading houses said the worst of the market’s woes are probably over, with some predicting prices will climb to $50 a barrel by next year. “The down market is behind us,” Torbjorn Tornqvist, chief executive officer of Gunvor Group Ltd., said on Tuesday at the FT Global Commodities Summit in Lausanne. “It is the beginning of the end of that for sure.”
Oil has rebounded after falling to the lowest level in more than 12 years amid signs a global glut will ease as U.S. output declines. The world’s largest oil traders were meeting in Switzerland as members of OPEC and other major producers prepare to assemble in Doha on April 17 to discuss an output freeze. Oil traders benefited from a surge in volatility last year and that should continue, according to Tornqvist………………………………………..Full Article: Source

OPEC oil output climbs 40,000 barrels a day in March: Platts

Posted on 12 April 2016 by VRS  |  Email |Print

Oil production from members of the Organization of the Petroleum Exporting Countries rose by 40,000 barrels a day in March from a month earlier, to 32.38 million barrels a day, according to a Platts survey released late Monday.
Platts attributed the increase to higher output from Iran, which climbed by 110,000 barrels a day to 3.23 million barrels a day. Iraqi output also rose by 30,000 barrels a day to 4.16 million barrels a day, according to the survey of OPEC and oil industry officials and analysts conducted by Platts………………………………………..Full Article: Source

Indian Regulator mulls single licence for equity, commodity brokers

Posted on 12 April 2016 by VRS  |  Email |Print

The Securities and Exchange Board of India (Sebi) is working on a plan to allow a single licence for equity and commodity brokers, a move that will help the broking community reduce costs. Though both security and commodity market intermediaries are now regulated by Sebi, following the absorption of Forward Markets Commission (FMC) into it, they still adhere to different guidelines and requirements.
Sebi has initiated an exercise to have a common set of these. “Once the commodity market stabilises, we will allow each lot of brokers to operate in the other segment. It will be done in a gradual and phased manner, so the market isn’t disrupted in any way,” a senior Sebi official said………………………………………..Full Article: Source

Iran expects 4 mbpd oil output by March 2017

Posted on 06 April 2016 by VRS  |  Email |Print

Iranian Oil Minister Bijan Namdar Zanganeh said the country’s crude output would reach four million barrels per day (bpd) by March 2017. “In the annual budget, the amount of oil export has been predicted around 2,250,000 bpd. This means our production this (Iranian) year will reach four mbpd,” Zanganeh said.
Zanganeh said Iran’s oil output has increased after the lifting of international sanctions in January under a nuclear deal with six major powers………………………………………..Full Article: Source

Brace for big commodities drop, traders warn

Posted on 05 April 2016 by VRS  |  Email |Print

After a great few weeks for the commodities trade, it’s now time to get out, some strategists say. The commodities trade is “not only being hit cyclically, but it’s also being hit fundamentally, so I would expect a decline over the next month,” Phillip Streible of RJO Futures said Friday on CNBC’s “Trading Nation.”
Strong gains across oil, copper, gold and other commodities have made for a very profitable month for bulls. In fact, March was the first positive month for the S&P GSCI total return commodities index since October, and the best March since 2006………………………………………..Full Article: Source

Saudi Arabia acts to slow Iran’s oil exports

Posted on 05 April 2016 by VRS  |  Email |Print

Iranian ships carrying crude restricted from entering ports in Saudi Arabia and Bahrain. Saudi Arabia has taken steps to slow Iran’s efforts at increasing oil exports, banning vessels that transport Iranian crude from entering their waters, according to traders and shipbrokers.
Iran already faces insurance, financing and legal obstacles despite the lifting of sanctions linked to its oil industry in January. Under a nuclear deal with world powers, Iran was allowed to resume crude exports to Europe and other destinations………………………………………..Full Article: Source

Commodities price collapse hurting Canadian incomes, BoC official says

Posted on 31 March 2016 by VRS  |  Email |Print

The aftershocks of the commodities price collapse, already plucking $1,800 a year out of Canadians’ pockets, could persist for more than two years and permanently impair the economy. That’s the conclusion of the Bank of Canada, based on the central bank’s latest economic modelling.
The full impact of the hit to Canadian incomes is “gradually building” and will get worse before it gets better, Deputy Governor Lynn Patterson warned in a speech in Edmonton on Wednesday………………………………………..Full Article: Source

Is the worst of the bear storm over for iron ore?: Andy Home

Posted on 31 March 2016 by VRS  |  Email |Print

The iron ore market has had a good first quarter. True, the spot price has retreated from the frothy heights of early March, when it rocketed by over 20 percent in the space of just two days to $63.60 per ton. That speculative frenzy, fueled by massive trading activity on China’s Dalian Exchange, has abated.
But at a current $54.70 per ton, iron ore is on course to close the first three months of 2016 with price gains of around 27 percent. Compare and contrast with copper, another industrial commodity plagued by the same demons of slowing demand growth and oversupply, which is currently showing year-to-date gains of just six percent………………………………………..Full Article: Source

banner
banner
banner
banner
September 2016
S M T W T F S
« Aug    
 123
45678910
11121314151617
18192021222324
252627282930