Thu, Sep 18, 2014
A A A
Welcome kbr175@gmail.com
RSS
Commodities Briefing 24.Apr 2014

Posted on 24 April 2014 by VRS |  Email |Print

Investors should buy into the energy sector to protect their portfolios from rising levels of geopolitical risk, according to Russ Koesterich, global chief investment strategist at BlackRock. Data from FE Analytics shows that specialist energy funds have done very well so far this year, with an uptick in performance in recent weeks as the Ukraine crisis has escalated.
Koesterich says he expects the outperformance to continue, and suggests overweighting the sector. “We are advocating an allocation to energy stocks, which have outperformed the broader market year-to-date,” he said………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Iraq and Saudi Arabia crude oil exports rose by 26 per cent and 3.5 per cent respectively in February 2014, according to the Joint Organisations Data Initiative (JODI). Saudi Arabia had reportedly shipped 7.76mn bpd in February compared to 7.5mn in January 2014.
Meanwhile, Iraq increased exports to 2.8mn bpd, up 26 per cent from January 2014, highest since the year 2002………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

The U.S. is stockpiling the most crude since the Great Depression, thanks to the shale boom that has boosted production to the most in 26 years. Inventories rose 3.52 million barrels last week to 397.7 million, the highest level since 1931, according to Energy Information Administration data going back to 1920.
Crude output climbed 59,000 barrels a day to 8.36 million, the most since January 1988, as the combination of horizontal drilling and hydraulic fracturing, or fracking, unlocked supplies from shale formations in the central U.S., including the Bakken in North Dakota and the Eagle Ford in Texas………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

The oil and gas industry is worth about £35bn to the UK economy, according to a new study. The research, commissioned by industry body Oil and Gas UK, found more than 3,000 companies were directly involved in the industry.
The number of people employed by UK firms grew by more than 20,000 in the four years to 2012. The report said a key challenge was the availability of skilled and experienced workers. It also suggested the industry needs to increase exports to sustain growth………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Iran exported $41.6 billion worth of crude oil and gas condensate in the past Iranian calendar year, which ended on March 20, Oil Minister Bijan Namdar Zanganeh said on Wednesday. Iran’s crude oil was sold at $104 per barrel on the average in the international market, the Mehr News Agency reported.
On March 12, Zanganeh said Iran’s crude oil output is forecast to increase by about 200,000 barrels per day to 4 million barrels per day, and its daily natural gas output is forecast to increase by about 100 million cubic meters per day to 400 million cubic meters per day in the current Iranian calendar year 1393, which began on March 21………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Gold remains defensive amid expectations that the Fed will continue with its taper campaign next week and what seems to be a complete dismissal of the rising geopolitical tensions in Ukraine. Currency markets have been pretty well contained recently, providing little in the way of fresh directional clues for the yellow metal.
Jon Hilsenrath of The Wall Street Journal expects that the FOMC will hold steady on policy after their two-day meeting next week, scaling back asset purchases to $45 bln per month. As for an eventual rate hike, Hilsenrath believes the Fed will remain purposefully vague………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Gold edged up on Wednesday from the 2-1/2 month low it hit in the previous session as a softer tone to equities and the dollar helped arrest its slide, though it remained vulnerable to further losses as investor demand remained slack.
The metal hit its lowest since mid-February on Tuesday after U.S. housing data beat expectations, boosting confidence in the U.S. economic recovery and lifting stock markets, which hurt gold’s appeal as an alternative investment. It found support at its 100-day moving average at $1,277 an ounce, however, and turned higher after mixed euro zone data resulted in a retreat in European shares and the dollar………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Peter Hug is in studio to talk gold prices, Chinese gold imports as well as where he thinks the metals are headed. “I have not liked this gold market for the past few weeks, I find it very heavy,” he says. “Other than the geopolitical issues in Ukraine, which has caused some support in the market, there have been very little fundamental reasons to be long this market in the short term.”
Hug says that although the Ukraine situation caused buoyancy in the gold market, what it is really missing is physical demand. “It’s almost non-existent in North America and the Chinese just haven’t stepped up to the plate like they did in 2013.”……………………………………….Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Tune in to Kitco News’ exclusive interview with Rosa Abrantes-Metz, the researcher responsible for creating waves in the gold market earlier this year regarding manipulation in the London gold fix. Metz speaks with Daniela Cambone to discuss the research paper and her findings, which are soon due for release.
“We found that, particularly since 2004, the incidents of large spikes in prices for spot gold has very significantly increased for the PM fixing,” she says. She adds that the spikes are very often the largest of the day, even larger than when New York trading opens, which could raise red flags………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

The mainstream is on an academically-driven mission to politicize conspiracy theories and lump them all into the same category. While gold and silver manipulation is an ancient conspiracy fact, eyes are wide shut to the general awareness in the face of one revelation after another.
The news cycle is filled with a carefully crafted digestion of tightly controlled sound bites that are presented with no lack of drama, glitter, and spotlights. The mainstream media is perfectly positioned to make theater of the issues that remain esoteric and out of reach. The further the issue is from the majority’s perception, the more black and white will be the acceptance. Belief is emotional, politically framed………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Silver prices hit $50 three years ago this week. It was on April 25, 2011 that silver traded $49.80 per ounce in the New York spot market. That means silver traded $50 somewhere. There was a lot of business going on at that time, but after holding above $49 for the rest of that week, silver prices began to retreat. Fast.
One of the factors that many traders were looking at was the Gold/Silver Ratio. Some believed that silver was much undervalued versus gold, and would recover its historical price parity of about 16 ounces of silver per ounce of gold………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Platinum prices could be vulnerable to further losses in the near-term, although metals analysts remain bullish on the white metal in the long-term. Since setting a high on April 14 of $1,471.50 an ounce, basis the New York Mercantile Exchange July contract, platinum prices are down 5%. As of 11:05 a.m. EDT, July platinum traded at $1,399.40.
Much of the gains for platinum came on the continuation of the strike by the Association of Mineworkers and Construction Union against the major South African platinum producers, Anglo American Platinum, Impala Platinum and Lonmin. The strike is in its 13th week………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Global aluminium production reached a new high in March despite cuts to capacity by the biggest manufacturers. Companies such as Alcoa, Rusal and Rio Tinto have been shutting smelters over the past two years in an effort to tackle oversupply, as depressed prices continue to weigh on the industry. But surging output in China has more than offset these cuts.
Production of the lightweight metal rose to 4.329m tonnes last month, a 5 per cent year-on-year increase, according to the International Aluminium Institute. The previous monthly high, of 4.255m tonnes, was achieved in October………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

The price of copper has fallen by about 10% in 2014, and it recently hit a four-year low at about $6,550 per ton on the London Metal Exchange. Surprisingly, though, the talk at the conference was rather upbeat.
One explanation is that, even at current prices, the major producers aren’t suffering. Take the world’s largest producer, Chile’s Codelco. Yes, its costs have risen at twice the global rate – 60% versus 30% – since 2007. But at around $3,600 per ton, Codelco’s costs still leave room for a comfortable profit margin………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

The US steel sheet market continued to report offers from producers above published minimum base prices, as mills look to keep upward pressure on pricing amid supply tightness. Buy-side sources reported higher offers from multiple mills for both hot-rolled and cold-rolled coil, with one Midwest buyer having been offered 450 st of HRC for June delivery at $710/st from an integrated producer.
The buyer, however, noted that another major integrated producer in the region had yet to start offering above the published minimum base price of $685/st. The buyer also said that in the last three weeks the book price has been almost same, regardless of volume………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Tin cancelled warrants on the London Metal Exchange have risen markedly in recent days, and now account for more than 50% of total inventory in listed warehouses for the first time since 2012, according to Leon Westgate, commodities strategist at Standard Bank.
“The warrant cancellations have helped lend support to outright tin prices, while the nearby spreads have also tightened up appreciably, with tom-next flaring out to $8 backwardation [on Tuesday],” Westgate said in a note………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

U.S. energy stocks and exchange traded funds are getting plenty of attention and deservedly so. Off its early February lows, the Energy Select Sector SPDR has surged 14.5%. And in recent days, a fair percentage (sometimes half or more) of the ETFs making new all-time highs have been energy ETFs, including XLE and a broad swath of competitors.
International energy funds have kept pace with their U.S.-focused rivals. The iShares Global Energy ETF is higher by nearly 15% since Feb. 3 while the SPDR S&P International Energy Sector ETF is up 15.7% over the same period………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

BlackRock Inc. (BLK) said it will list an exchange-traded fund on the Brazilian stock exchange to track the U.S. benchmark Standard & Poor’s 500 Index.
The ETF will be the first listed in Brazil linked to the performance of stocks trading outside the country, BlackRock spokeswoman Melissa Garville said in an e-mailed statement. The ETF, to be called the iShares S&P 500 FIC FI Investimento no Exterior, will start trading April 29, according to a separate statement from the exchange operator, BM&FBovespa SA……………………………………….Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

While most investors like to believe that things like earnings and the economic data drive the market’s ups and downs, lately it’s been all about moves in the currency market.
Since stocks started surging higher in late 2012, they’ve been marching in lockstep with the Japanese yen. Specifically, whenever the yen goes down, stocks rise. And when the yen strengthens, stocks weaken. (The relationship is so close that since the beginning of 2013, the yen’s movement explains 60% of the changes in the S&P 500.)……………………………………….Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Belorussia’s authorities do not plan to lower the national currency rate through administrative measures, President Alexander Lukashenko told the population and the country’s parliament on Tuesday, adding he saw no causes for massive national currency devaluation.
“We are not planning to devaluate our currency and we will do everything possible to avoid it. If we find devaluation necessary, in case we are out of gold reserves, or if these slump to an estimated critical limit, we will easily do it. If we add some 5-6% by the end of the year, it will be OK”, he said………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Increasing energy demand is set to put pressure on the world’s water resources over the coming decades, according to a number of new expert studies. Even if the world shifts away from fossil fuels and toward cleaner power supplies, growing demand could help put water supplies under severe strain by the middle of the century.
From cooling down power plants and extracting, transporting and processing fuels to growing crops used as biofuels, energy production relies on water. Altogether, the sector accounts for 15 per cent of water withdrawals around the world, according to the International Energy Agency (IEA). Only agriculture is more water-hungry………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

Revenues for China’s biggest sellers of U.N.-issued carbon credits shrunk last year to a tenth of 2012 values, choking off billions of dollars flowing to clean energy projects in the world’s top carbon-emitter.
China will now have less money to put into a stepped-up campaign to cut greenhouse gas emissions, clean its air and raise the share of fossil-free energy in its total mix to 15 percent by the end of the decade, from a current 8 percent………………………………………..Full Article: Source

Posted on 24 April 2014 by VRS |  Email |Print

The European Commission urged Germany to take urgent steps to regulate polymer producers under the bloc’s Emissions Trading System (ETS) or face being sued over the breach of EU law.
The EU executive sent Germany a formal request to comply after Berlin failed to give a satisfactory response to an initial plea to include the sector in the ETS, which regulates around half of Europe’s greenhouse gas output………………………………………..Full Article: Source

See more articles in the archive

banner
September 2014
S M T W T F S
« Aug    
 123456
78910111213
14151617181920
21222324252627
282930