Thu, Jul 24, 2014
A A A
Welcome kbr175@gmail.com
RSS
Commodities Briefing 17.Mar 2011

Posted on 17 March 2011 by VRS |  Email |Print

From Reuters: The pace of recovery in Japanese firms’ confidence slowed to a crawl in March as commodity price hikes bite, a Reuters poll showed, compounding the worries for a fragile economy as it braces for a further blow from a devastating earthquake.
Following is a table of indexes for key sectors and a comparison with the Bank of Japan’s quarterly tankan survey:………………………………………Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Theglobeandmail.com: Global food prices are on the rise again, raising questions about the impact on inflation and global economic growth – not to mention how some of the world’s poorest people will feed themselves.
For investors, though, there is another question: How sustainable is this latest surge in food prices and what are the best ways to gain access to it?………………………………………Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Marketoracle.co.uk: Soft commodities have experienced some steep selling in the days since the Japan disaster, as speculative money has exited more ‘risky’ assets. But having enjoyed a 9-month stellar run, a pullback was overdue. Considering a broad softs ETF as a proxy, at the time of writing the complex is now nearing oversold levels:
First understand why agricultural commodities made some spectacular gains over the last 9 months. This period was characterised by a long run of forecasts of declining inventories, thanks to extreme and uncommon weather patterns and natural disasters affecting harvests and planting……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Reuters: High prices for agricultural commodities will attract investment into the sector that could boost production and help increase global food supplies, according to David Lehman, managing director for research at Exchange operator CME Group Inc.
“We have entered an era where demand has been growing faster than supply,” Lehman said on Wednesday at the Reuters Food and Agriculture Summit……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Reuters: Options activity in commodities futures ranging from gold to cocoa and corn, has increased this week, with volatile markets boosting premiums for investors looking to protect investments in the midst of wide price swings.
On Wednesday, options volatilities remained high, with some widening out further. The stock market’s favorite barometer of anxiety, the Chicago Board Options Exchange Volatility Index , soared nearly 30 percent at one point on Wednesday, to its highest since last July, on growing fear over Japan’s nuclear crisis. ………………………………………Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Minyanville.com: The first pattern we shall examine is the 1951 to 2011 analog. Let’s get into a little bit of fundamental background before we examine the charts. The commodity bull market which ended in January 1951 perhaps shares more similarities to the current situation than any other.
Back then people were worried about debt. At the end of 1950 the Public Debt/GDP was 87%. At the end of 2010 the Public Debt/GDP was 93%……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Investorplace.com: While it feels like months, it was just over one week ago that NYMEX oil futures (traded in New York, representing West Texas oil) traded as high as $107/barrel due to turmoil in the Libya and other Middle Eastern countries.
Earlier this week NYMEX oil futures traded as low as $96 due to the belief the decline in Japanese demand would lead to a global drop in economic activity……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From WSJ: The Organization of Petroleum Exporting Countries may meet to assess the impact of the nuclear crisis in Japan and the ongoing unrest in the Middle East and North Africa on oil supply, Nigeria’s foreign minister said Wednesday.
“It [Japan] is likely to affect the oil market and therefore the prices,” Henry Odein Ajumogobia told reporters after a meeting with Indian officials in Delhi. “I do suspect members of OPEC would be getting together to assess the situation of demand and supply.”………………………………………Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Liveoilprices.co.uk: The IEA has forecast in it’s latest monthly oil report that global oil demand will be lower than previously expected in 2011 as high oil prices begin to take effect on the global economy.
The IEA, which advises 28 countries on energy policy, also said OPEC’s oil production fell only slightly in February as OPEC member countries stepped in to compensate for the loss of Libyan crude oil output……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Reuters: Two top energy market operators redoubled their defense of speculators on Wednesday amid renewed concerns in the oil market, arguing that speculators are misunderstood and often too quickly blamed for price spikes.
The chief executive of CME Group Inc, Craig Donohue, and IntercontinentalExchange Inc CEO Jeffrey Sprecher, at an industry conference here, waded back into a debate that intensified as unrest in the Middle East sent prices surging……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Voanews.com: The earthquake and tsunami disaster in Japan has disrupted that Asian nation’s power plants, including nuclear facilities that are still threatening the area with radiation leaks.
The crisis at Japan’s nuclear plants has caused a re-assessment of nuclear power plants and projects worldwide and could cause an uptick in demand for other sources of energy including coal, petroleum and natural gas. But energy experts do not believe the Japanese crisis will cause a major upset in world energy markets or even a major pullback from nuclear energy……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Mineweb.co.za: The aftermath of Japan’s disastrous earthquake and tsunami could temporarily ease the rise in rare earth prices, but overall demand is likely to continue to outstrip supply for the next few years, an industry executive said.
Western companies are scrambling to redevelop mines capable of producing the 17 rare earth elements, used in everything from Apple iPads to wind turbines, after China last year began sharply reducing its exports of the materials……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Hardassetsinvestor.com: Analysts have been bullish on copper for a while now—who wouldn’t be, after last year’s price rise of 31.44 percent? But 2011 may prove to be a different story. Year-to-date, copper prices have dropped 4.95 percent, while inventories at both the London Metal Exchange and COMEX have risen.
With Chinese inflation—not to mention Japan’s recent earthquake—increasingly worrying investors, where will copper prices go next?………………………………………Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Bloomberg: Platinum and palladium slid to the lowest levels in at least two months in London on concern that demand will wane after Japan’s strongest earthquake on record forced carmakers to close plants. Silver also declined.
Toyota Motor Corp., the world’s largest automaker, said it closed its plants in Japan through tomorrow, while companies including Honda Motor Co. and Suzuki Motor Co. also halted operations……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Marketwatch.com: The most volatile market since the Japanese earthquake isn’t Japanese or U.S. stocks. It is uranium, which until Friday was a little-noticed pocket of the commodities markets.
Trading in uranium is often sporadic, with just a few dozen transactions taking place each month, and trading on the spot market totaling about $2.5 billion last year……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Marketoracle.co.uk: After working in the gold mining industry for many years, consultant Ken Reser has turned his attention to special opportunities in minerals of strategic importance to North America and Europe.
In 2004, he developed an early interest in molybdenum as a vital resource, and then in 2007 became intensely interested in manganese as an element that would gain prominence due to the unique properties that make it irreplaceable in the manufacture of steel……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Mineweb.co.za: 80 tonnes of gold were sold out of gold ETFs in the first two months of 2011 but, there is no need to worry yet that investors in these products are beginning to get cold feet about the yellow metal.
Speaking on Mineweb.com’s Gold Weekly podcast, Jason Toussaint, MD for the US and Investment at the World Gold Council said that of the 80 tonnes sold in January and February, 67 of those tonnes were sold in January and 70 were sold specifically out of the SPDR gold trust……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Businessinsider.com: As the universe of exchange-traded products has expanded considerably in recent years, investors have become more aware of the nuances between the various types of investment vehicles. Under the “ETF umbrella” are a number of product structures that aren’t true 1940 Act exchange-traded funds, including unit investment trusts (UITs) and grantor trusts.
Also included are exchange-traded notes (ETNs), debt securities that are similar in many ways to their ETF cousins but very different in others……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Commodities-now.com: ETF Securities Limited, pioneers in specialist exchange traded products (ETPs), has enhanced its exchange traded commodity (ETC) platform, ETFS Commodity Securities Limited (CSL), with the addition of Bank of America Merrill Lynch, via Merrill Lynch Commodities Inc., (MLCI), as a second counterparty.
Bank of America Merrill Lynch will join UBS AG as a Commodity Contract Counterparty to CSL. Such appointment will become effective on or after 13th April 2011……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Reuters: Uncertainty created by upheaval in Arab countries and an earthquake in Japan meant it was too early to talk about a buying opportunity in commodities after a sharp pullback, a fund manager at BNP Paribas said.
Commodity markets have plummeted this week as investors have unloaded riskier investments after the earthquake and subsequent nuclear alert in Japan, and Gunter Tschiderer, fund manager at BNP Paribas’ Sigma Commodities said market gains on Wednesday appeared more a technical bounce than a sign of fresh buying……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Bloomberg: Deutsche Boerse AG’s Eurex Clearing unit plans to offer processing of over-the-counter interest rate and equity derivatives, as it seeks to capitalize on regulators’ push to move more complex financial products through clearinghouses.
The company’s Eurex OTC Clear service will be expanded “to include OTC-traded interest rate and equity derivatives,” the company said………………………………………Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Seekingalpha.com: Immediately following the announcement of the proposed NYSE-Euronext / Deutsche Boerse deal, I stated that the main risk to the transaction would be European antitrust regulators who are not keen, to say the least, on the vertical integration of exchanges and clearinghouses (the “silo” model).
A close watcher of these developments, Anthony Belchambers of the Futures and Options Association, believes this risk is quite real:………………………………………Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Business-standard.com: The new entrant in commodity futures space, ACE commodity exchange, has decided to expand capital base by 20 per cent by next July-August. A majority stake in the exchange is owned by the Kotak Mahindra Bank.
By doing this the exchange’s capital base would expand by Rs20 crore and premium (depending upon valuations) will be added to reserves. After this, Kotak’s share will fall from 51 per cent to 40 per cent which will be in line with the regulatory norms……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Ctv.ca: Japan’s currency has surged to its highest level in almost 16 years, further straining an economy in crisis. The yen gained as much as 0.9 per cent to 79.98 per U.S. dollar Wednesday as currency traders speculated that the Japanese government, insurers and other companies will have to repatriate billions invested overseas to pay for rebuilding.
Some estimates now peg the cost of the devastating earthquake, tsunami and continuing nuclear emergency at more than $180-billion (U.S.)……………………………………….Full Article: Source

Posted on 17 March 2011 by VRS |  Email |Print

From Moneycontrol.com: It’s hard to know in this environment, the markets are responding very dramatically to everything that’s going on in Japan. And then on top of that prior to the Japanese situation, we had a general melting risk off trade which was adversely affecting commodity prices. And then selectively for some commodities, the fundamental situation was deteriorating as well.
But I think we are getting into an environment now where these things have been overdone, especially in response to the Japanese situation. Once the most horrendous aspect of what is unfolding in Japan behind us, a massive reconstruction programme will be underway, which will be very commodity intensive at least for the metals commodities……………………………………….Full Article: Source

See more articles in the archive

July 2014
S M T W T F S
« Jun    
 12345
6789101112
13141516171819
20212223242526
2728293031