Go Symbol Lookup
Loading...

COMMODITIES-Oil flat, wheat up after mostly soft week for commods

 Text Size  
Published: Friday, 25 Jan 2013 | 4:13 PM ET
By: Barani Krishnan

* Brent crude flat at around $113; US crude up for 7th week

* Wheat surges on strong US exports

* Arabica coffee up on continued fears of coffee "leaf rust"

* Copper down as Chile's Collahuasi mine raises output

* Gold's safe-haven allure dimmed by Germany's bullish data

NEW YORK, Jan 25 (Reuters) - Oil held steady on Friday after robust German data bolstered hopes for global economic recovery and wheat and coffee rallied, muting the week's losses in commodities caused by falling metals prices. Benchmark Brent crude oil in London hovered at around $113 a barrel after Germany's business climate index, published by Munich's Ifo think-tank, showed the highest morale in over half a year in Europe's No. 1 economy. The Ifo numbers came after a day after data that suggested the fastest monthly growth in about two years in manufacturing activity in China and the United States. Copper prices fell in London and New York trade, reacting to reports of higher output at Anglo American's Chilean Collahuasi mine, the world's third largest for the metal. Investors in copper, the most influential market in industrial metals, also ignored the euro's 11-month highs against the dollar, which made commodities priced in the U.S. currency - such as copper - cheaper for euro holders. Gold prices slipped too, hitting a two-week low. The precious metal fell after the European Central Bank said euro zone banks will repay some 137 billion euros ($183.2 billion) in cheap loans they had taken, boosting confidence in the region's banks and dulling gold's hedge as a safe-haven to the euro.

The Thomson Reuters-Jefferies CRB Index, a commodities bellwether that tracks 19 markets, settled down 0.4 percent for the session. For the week, it lost 0.6 percent.

OIL STEADY FOR THE DAY, UP FOR THE WEEK Oil ended about flat for the session and higher for the week. Brent settled at $113.28 a barrel, unchanged from Thursday and up $1.39 on the week. U.S. crude finished at $95.88, down 7 cents from the previous session and up 32 cents from a week ago. The market also rose for a seventh week in a row, the longest such stretch since 2009. Gasoline was the only component of the oil complex that rose for the day, while heating oil led the move down amid ongoing maintenance works. "One way of looking at this is as some rotation between markets," said Tim Evans, energy analyst for Citi Futures Perspective in New York. "Seasonally, people might be giving up a little bit on the heating oil story and shifting toward gasoline, anticipating rising seasonal demand as we move into the spring."

COCOA AT 6-MONTH LOW, WHEAT REBOUNDS U.S. cocoa futures sank to a six-month low in New York as growing supplies from top producer West Africa and weakening technicals accelerated selling in chocolate's main ingredient. New York's most-active March cocoa contract fell $22, or 1 percent, to settle at $2,173 per tonne after earlier dipping to $2,166. That was the weakest level for the front month since July 17, 2012. Wheat was the outlier among major crops, rallying nearly 1 percent in Chicago trade after a three-day slide, as better-than-expected weekly U.S. export sales triggered a round of short-covering. "The export sales today were super for wheat," said Jack Scoville, grains analyst at The Price Group in Chicago. "The wheat demand for soft red wheat ought to be picking up, too, because it's relatively cheap." The U.S. Department of Agriculture reported export sales of U.S. wheat in the latest week at 647,500 tonnes, including 572,500 tonnes for the current marketing year that began June 1, 2012. The combined-year total topped a range of trade expectations for 350,000 to 550,000 tonnes. U.S. wheat for March delivery settled at $7.76-1/2 a bushel, up 1 percent for the day. For the week, it was down 2 percent, after accounting for losses in three earlier sessions.

Arabica coffee, a smaller market than wheat, also rose about 1 percent amid continued fears about the impact of the coffee tree disease, known as roya, in Mexico and in Central America, which accounts for fifth of global arabica output. New York's March arabica rose 1.7 cents to $1.483 per lb. Prices at 3:44 p.m. EST (2044 GMT)

LAST/ NET PCT YTD CLOSE CHG CHG CHG US crude 95.95 0.00 0.0% 4.5% Brent crude 113.39 0.11 0.1% 2.1% Natural gas 3.444 -0.002 -0.1% 2.8%US gold 1656.60 -13.30 -0.8% -1.1% Gold 1658.56 -8.80 -0.5% -0.9% US Copper 365.20 -2.45 -0.7% 0.0% LME Copper 8030.00 -65.50 -0.8% 1.2% Dollar 79.758 -0.191 -0.2% 3.9%US corn 720.75 -3.50 -0.5% 3.2% US soybeans 1441.00 5.75 0.4% 1.6% US wheat 776.50 8.00 1.0% -0.2%US Coffee 148.30 1.75 1.2% 3.1% US Cocoa 2173.00 -22.00 -1.0% -2.8% US Sugar 18.38 -0.11 -0.6% -5.8%US silver 31.206 -0.516 -1.6% 3.2% US platinum 1693.90 11.10 0.7% 10.1% US palladium 741.00 14.30 2.0% 5.4%

 Print
*Gold's safe-haven allure dimmed by Germany's bullish data. Benchmark Brent crude oil in London hovered at around $113 a barrel after Germany's business climate index, published by Munich's Ifo think-tank, showed the highest morale in over half a year in Europe's No. 1 economy.

   
Comments

 

More Comments

 
 

Add Comments

 

Your Comments (Up to 1100 characters):

Remaining characters

Your comments have not been posted yet.

Please review your submission to make sure you are comfortable with your entry.

Your Comments: