Wed, Nov 26, 2014
A A A
Welcome kbr175@gmail.com
RSS
Commodities Briefing 15.Jul 2013

Posted on 15 July 2013 by VRS |  Email |Print

Hedge funds raised bets on higher gold prices for a second week as comments from Federal Reserve Chairman Ben S. Bernanke damped expectations for an imminent tapering of stimulus. Futures rose the most since 2011.
Speculators increased their net-long position by 4.1 percent to 35,691 futures and options, U.S. Commodity Futures Trading Commission data for July 9 show. Net holdings expanded even as speculators increased short bets to a record. Net-bullish wagers across 18 U.S.-traded commodities retreated 3.4 percent as investors became the most bearish ever on corn. They were more bullish on silver and palladium………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

JPMorgan Chase & Co is following a move by rival Goldman Sachs Group Inc to explore sales of its metal warehouse business, the Financial Times said on Sunday. Citing people familiar with the matter, the newspaper said on its website on Sunday that both U.S. banks have in recent months informally started to seek potential buying interest for their warehouse units.
A Goldman spokesman said the firm has no comment. A spokeswoman at JPMorgan did not immediately return calls for comment………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Crude markets are in for some battering. With China struggling and Europe still on its heels, analysts are doubtful that global demand will continue to justify, in near future, the crude prices of around $100 per barrel.
China has been the major bright spot on the otherwise wobbling global economy — for some years now. It has helped keep a floor on most commodity markets. Yet the massive Chinese engine is slowly and gradually cooling down. China’s crude-oil imports fell in the first half of 2013, marking the first January-June contraction since the depths of the financial crisis in 2009………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Crude horizon is murky, emitting bearish signals. Despite hitting a 15- month highpoint last week, fundamentals do not appear strong enough to sustain the bull run - much longer.
Markets spiked late last week as the US Energy Information Administration’s (EIA) weekly crude stockpiles tumbled by 9.9 million barrels in the week ended July 5, indicating some pickup in demand………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Non-OPEC crude oil supply is expected to grow by 1.12 mn barrels per day (mb/d) in 2013, an upward revision of 0.64 mb/d which foretasted earlier, stated London based Barclays in its recent market report. Non‐OPEC crude oil supply is forecast to increase by 1.3 mb/d in 2014, higher than an upwardly revised 1.2 mb/d for 2013, said International Energy Agency in its recent release.
Global crude oil demand is forecast to grow by 1.2 mb/d in 2014, following upwardly‐revised growth of 930 kb/d in 2013. Unseasonably cold weather in the OECD helped to raise the estimates for 2Q13 and full year 2013 by 645 kb/d and 215 kb/d, respectively, IEA added………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

A typical downturn cycle for demand for OPEC oil has already started this year and is expected to intensify next year. That will bring with it not only the usual bitter quarrels between the organization’s member states on the tough issues of production discipline, but also how other producers will react to safeguard their own interest and help keep prices relatively high and stable.
The recent release of the monthly reports by both OPEC and its sister organization that groups the main consumers, the International Energy Agency (IEA) paints a clear picture of tough days ahead………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Concerns about oil supplies running dry are receding, according to the International Energy Agency (IEA). Massive new discoveries in the US have led to a “dramatic” change in global prospects.
The IEA’s head of oil markets, Antoine Halff, says forecasts have had to be repeatedly revised upwards in the past two years. Declining US production has been reversed as oil extracted from shale and other new sources comes on stream………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Oil supply will outstrip an acceleration in demand growth next year as production outside of OPEC expands at the fastest pace in 20 years, the International Energy Agency predicted. World oil consumption will climb by 1.2 million barrels a day next year, up from 930,000 a day in 2013, the IEA said in its first monthly report with forecasts for 2014.
Supplies from outside the Organization of Petroleum Exporting Countries will jump by 1.3 million barrels a day amid booming output in North America, shrinking the need for crude from the 12-member producer group, according to the report………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Renewable energy is growing fast around the world and will edge out natural gas as the second biggest source of electricity, after coal, by 2016, according to a five-year outlook published Wednesday by the International Energy Agency (IEA).
Developing countries are building more wind, solar and hydroelectric power plants to meet rising power demand and combat local pollution problems. And the costs of renewables are falling below the cost of traditional power sources such as coal, natural gas and oil in some markets with high-priced power………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Gold continues its short-term rally as assurances from Federal Reserve Chairman Ben Bernanke that QE3 remains alive kept the precious metal on track for its first weekly advance in a month.
After Bernanke’s pronouncements, gold prices jumped by 2.6% to $1,299 per ounce, marking a fourth winning day in a row - gold’s longest winning streak since mid-March………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

This year will go down in history as the year in which gold prices crashed 23 per cent in just three months. Much has already been written about the causes — investment funds exiting from gold investments following the long-drawn sideways movement in gold prices over the last two years.
Demand from jewellery buyers made international gold prices halt around $1,320 for a couple of months. But another bout of selling has sent the yellow metal lower to $1,179 in June. So how much further will this decline go and where can investors get respite?……………………………………….Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Gold’s spot price is likely to remain between $US1200 to $US1300 an ounce for as long as two years after rising more than four-fold between 2005 and September 2011, Mike Edwards, chief executive officer of gold explorer Monteray Mining Group, predicted.
“For a year or two I see gold around $US1300,” Mr Edwards said. “Gold has had a good run. Producers have to deal with [the current price].” Bullion’s spot price rose from $US412.70 an ounce on February 8, 2005 to $US1900.23 on September 5, 2011, according to Bloomberg data. The price has since fallen 32 per cent………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Let me start by stating that I am a gold and silver bull and that the precious metals sector has been very good to me. However, any stock or commodity doesn’t not go up or down in a straight uninterrupted line. There are bear phases in a bull market just as there are bullish rallies in a bear market.
Gold prices are in a long term bull market despite being in a bear phase at the moment. With that being our starting point then being short rather than long in the near term, makes sense to me………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Gold produces no income and, unlike other commodities, little of the gold that is produced each year is consumed by industry. Some gold is used in jewelry and the rest is accumulated as an investment.
Since the gold used in jewelry and even industry can be viably salvaged, it can be assumed that close to all of the gold that has ever been produced continues to exist. Without a future stream of earnings to estimate, pricing gold is typically an exercise in comparison………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

While most sources concentrate on gold, which dipped to 1180 couple of months ago, silver has been even weaker. Both of these markets are at lowest levels since 2010, but at 18.21 silver lost of 60% of its value, when compared to the major high 49.81 back in 2011.
In response to this protracted downtrend, many analysts and traders have been calling for a bottom in the past several weeks. Last few days in particular produced an increase in bullish reports, following rebound in prices. All of a sudden, it seems that everybody is predicting a major reversal and new uptrend. Unfortunately, these opinions are overly optimistic and most likely premature………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

A few years ago, talking up a well-balanced portfolio of uranium and rare earth elements assets would have been a mouth-watering come-on for investors. Not now, of course.
You’ve got Toro Energy (TOE) with most of its ducks in a row including finance and government approvals to develop Western Australia’s first uranium mine. All except the rather important duck of a spot uranium price somewhere in the vicinity of $US70 a pound that would make the mine viable; it’s stuck with $US39.50/lb………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Analysts have reaffirmed their views that the recent surge in iron ore prices is unsustainable, with many expecting the resource to fall significantly in value in the September quarter.
Analysts at RBC Capital Markets have suggested that the recent gains have been the result of an increase in Chinese credit availability, whilst analysts at National Australia Bank have stood by their conviction that the surge has been onset by Chinese companies restocking their inventories, despite weak macroeconomic data………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Gold exchange traded funds (ETFs) witnessed massive redemptions in the first half of 2013 causing gold prices to remain bearish. SPDR Gold Trust (GLD) prices ndropped 25% this year till July 10 while iShares Silver Trust (SLV) witnessed a fall of 37%.
However, when physical holdings in gold ETFs fell 24%, outflows in silver witnessed only a modest fall of 1% over the same peirod or just 0.3% of annual demand………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Stock exchange needs better trading systems and cut to stamp duty to compete with growing international rivals, say brokers and investors. Hong Kong Exchanges and Clearing needs to upgrade its systems and introduce commodities trading in order to compete with rival exchanges in Shanghai and elsewhere in the world, local brokers and international investors said.
They said the city’s stock exchange faced a growing challenge to its status as a key regional player because its former flagship products, so-called H shares, had lost their lustre after their poor performance………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Turnover of commodity exchanges fell marginally to Rs 41.45 lakh crore in the April-June quarter this fiscal due to drop in trading volumes of bullion and farm items, according to Forward Markets Commission (FMC).
The exchanges had made a business of Rs 41.71 lakh crore in the same period last year. Except for energy futures, trading volumes in farm items, gold, silver and industrial metals remained lower in the said period, commodity market regulator FMC said in a statement………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

After weeks of rapid depreciation, many commentators are wondering just how low can the Australian dollar go. Slowing growth in China and signs of a recovery in the US have renewed pressure on the dollar, with some predicting that it could fall below US90 cents as encouraging US jobs figures strengthen the greenback.
Analysts from investment bank Credit Suisse have been more bearish in their 12-month outlook, forecasting that the dollar could slide to a low of US75 cents. Below are three academics’ views on the fundamental value of the Australian dollar and what the future might hold for our exchange rate………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

There has been a remarkably weak policy response to the Eurozone crisis relative to non-euro countries equally affected by the financial crash. Others have responded more effectively, notably the United States where a sustainable recovery seems finally to have commenced. The manner in which the Eurozone was constructed in the 1990s is the main problem.
It is just a common currency area without the necessary institutions that would make it into a proper monetary union. Add in the absence of the Franco-German political leadership that traditionally fixes problems in Europe and the nightmare for distressed Eurozone members could have several more years to run………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Discussion has been locked in fact-free debate for so long it’s easy to forget reducing emissions is the point of the exercise. Starting a “floating” carbon price one year early is not such a big deal, really. The fact that every political party is screaming about it just proves how twisted the politics of this issue has become.
For Kevin Rudd, it’s a way to reboot a debate Labor has been comprehensively losing, and provide businesses and households with some very short term cost relief………………………………………..Full Article: Source

Posted on 15 July 2013 by VRS |  Email |Print

Australia plans to scrap its carbon tax and bring forward an emissions trading scheme, Treasurer Chris Bowen said on Sunday, a policy shift certain to be a focal point in the forthcoming election.
Under current plans, Australia would move from the current fixed price on carbon — essentially a tax assessed on larger companies entitling them to produce carbon emissions — to a floating price in July 2015………………………………………..Full Article: Source

See more articles in the archive

banner
November 2014
S M T W T F S
« Oct    
 1
2345678
9101112131415
16171819202122
23242526272829
30