BLBG: U.S. Commodities Day Ahead: Copper Climbs as Korea Concern Eases
The following are the top stories on metals, agriculture and shipping.
ECONOMIC EVENTS:
Forecast Prior Time
(N.Y.)
Durable Goods Orders OCT 0.1% 3.5% 8:30
Personal Income OCT 0.4% -0.1% 8:30
Personal Spending OCT 0.5% 0.2% 8:30
Initial Jobless Claims NOV 20 435K 439K 8:30
U. of Michigan Confidence NOV F 69.5 69.3 9:55
House Price Index MoM SEP 0.0% 0.4% 10:00
New Home Sales OCT 312K 307K 10:00
US Census Soybean Crush OCT 3.913M 8:00
US Census Soyoil Reserves OCT 3.356M 8:00
Poultry Slaughter LW YoY% 4.5% 8:30
USDA Broiler Eggs Set NOV 19 203463 15:00
METAL PRICES: ($/ton)
Last % Chg RSI
Copper 8,192 +0.6 44
Aluminum 2,275 +0.9 42
Zinc 2,105 +0.9 35
Lead 2,209 +1.0 36
Nickel 21,850 +1.2 41
Tin 24,000 +0.4 36
OTHER MARKETS:
Last % Chg % YTD
U.S. Dollar Index 79.879 +0.2 +6.4
Crude Oil $81.35 +0.1 +7.0
Gold $1,375.0 -0.1 +18
MSCI World Index 1,207.81 -0.2 +4.1
TOP STORY:
Copper Rises for First Day in Four on Reduced Korea Concern
Copper rose for the first day in four in London on reduced concern about yesterday’s exchange of artillery fire between North and South Korea.
COMMODITY EXCLUSIVES:
HSBC Nears Deal in India’s $16 Billion Energy-Savings Market
HSBC Holdings Plc, Europe’s biggest bank, plans to complete its first loan by March under a pilot program to finance energy- saving projects, a market the government estimates may be worth $16 billion.
French Cold Snap Heralds ‘Season to Watch’ for EDF (Update1)
A cold snap in France over the next week will test Electricite de France SA’s pledge to increase production at nuclear reactors and cut reliance on imported power this winter.
Exxon Expects Norway Investments to Stabilize at $2.8 Billion
Exxon Mobil Corp., the world’s biggest oil company, invested 17 billion kroner ($2.8 billion) in Norway in 2009 and expects the same levels for 2010 and 2011, as it works to maintain production in the Scandinavian country.
Spain Delays $18 Billion Power-Bond Program as Yields Soar
Spain has frozen the start of its 13.5 billion-euro ($18 billion) program to sell state-guaranteed power-revenue bonds until government debt market volatility abates, people with direct knowledge of the transaction said.
SEC Economist Vacancies May Aid Legal Challenges of Dodd-Frank
The U.S. Securities and Exchange Commission has begun drafting more than 100 rules required by the Dodd-Frank Act with a vacancy atop the office that helps ensure its regulations can withstand court challenges.
Uganda’s Finance Minister Forecast Growth of 10% in 2011-12
Uganda’s economy will expand about 10 percent in the year through June 2012, Finance Minister Syda Bbumba said.
CVC-Backed Evonik Said to Near Agreement on Sale of Energy Unit
Evonik Industries AG, the German chemical company part- owned by CVC Capital Partners Ltd., may reach a preliminary agreement on the sale of its 3.8 billion- euro ($5.1 billion) power unit as early as next week, said three people with knowledge of the matter.
INDUSTRIAL METALS:
Rusal to Start Alloy Venture, Buy Into China Trader (Update1)
United Co. Rusal, the world’s largest aluminum producer, agreed to create an alloys production venture with China North Industries Corp. and buy a stake in a trading unit as it seeks access to Asia’s biggest economy.
‘Shooting Star’ Means Commodity Index Skid: Technical Analysis
Commodities may drop 17 percent in the next few weeks, according to technical analysis by United- ICAP, a unit of ICAP Plc, the world’s largest broker of transactions between banks.
MINING:
Sojitz, Lynas Sign Deal to Speed Doubling of Capacity (Update2)
Lynas Corp. and Japan’s Sojitz Corp. signed a supply deal that will speed up the Australian rare earths developer’s plan to double capacity and also secure supply for Japan after China slashed exports.
China Resumes Rare Earth Exports to Japan, METI Says (Update1)
China, the world’s biggest exporter of rare earths, has restarted shipments of the minerals to Japan after a diplomatic row between the two countries disrupted trade in September, Japan’s trade ministry said.
Vietnam’s Bauxite Reserves May Total 11 Billion Tons (Update1)
Bauxite reserves in Vietnam may total 11 billion metric tons, enough to ensure the long-term supply to the country’s alumina industry, according to Prime Minister Nguyen Tan Dung.
Pike River Miners Presumed Dead After Second Blast (Update2)
The 29 miners missing after a blast in a New Zealand coal mine five days ago are likely dead in the nation’s worst mining tragedy in almost a century, following a second explosion.
Cameco Agrees to Supply Uranium to Guangdong Nuclear (Update1)
Cameco Corp., the world’s second-largest uranium producer, agreed to supply the fuel to China Guangdong Nuclear Power Holding Co. through 2025 to meet rising demand in the world’s fastest-growing nuclear market.
PRECIOUS METALS:
Gold Fluctuates Amid European Debt Concerns, Korean Tension
Gold fluctuated in London as concerns about Europe’s debt crisis and escalating tensions between North and South Korea boosted demand for a protection of wealth.
Top-Gaining Metal Palladium May Jump 19% on Cars: Chart of Day
Palladium, this year’s best-performing metal, may rally another 19 percent by the end of 2011 as auto sales climb in China and India, said William O’Neill, a partner at Logic Advisors.
AGRICULTURE:
Soybeans, Corn Climb on Concern Dry Weather May Damage Crops
Soybeans rose for a third day in Chicago and corn extended yesterday’s rally on concern dry weather may damage South American oilseed and grain harvests amid sustained demand from China.
Sugar Gains on Indian, Australian Export Concern; Coffee Falls
White sugar rose for a second day in London on supply concerns in India, the world’s second-biggest producer, and Australia. Coffee fell after farmers started to harvest the crop in Vietnam as rains abated.
Japan Seeks to Buy 30,000 Tons Wheat, 200,000 Tons Barley
- Japan’s agriculture ministry will hold a tender to buy 30,000 metric tons of feed wheat and 200,000 tons of feed barley under a simultaneous buy-and-sell system on Dec. 1.
Rice Prices May Advance as Thailand Cuts Crop Outlook (Update2)
Thailand, the world’s biggest rice exporter, said output from the nation’s main harvest may fall below its previous estimate as the worst floods in five decades devastated crops, supporting prices of Asia’s staple food.
China Commodity Bourses Raise Trading Fees to Curb Speculation
China, the world’s biggest consumer of copper and soybeans, will increase the costs of trading agriculture and metal futures as part of the government’s efforts to limit speculation and tame inflation.
Palm Oil Climbs as Korea Clash Concerns Ease, Soybean Oil Rises
Palm oil climbed for the first time in three days after concerns eased about an escalation in clashes between South and North Korea, boosting commodity prices, and as soybean oil gained on dry South American weather.
China Limits Purchases in Vegetable Oil Auctions, Center Says
China said companies participating in state sales of vegetable oil cannot buy more than 5,000 metric tons in a single purchase or volume that exceeds 30 days of usage, the National Grain & Oil Trade Center said on its website today.
SHIPPING:
British Warship Destroys Pirate Vessel Off Somalia, NATO Says
A British warship destroyed a pirate vessel off the coast of Somalia, the North Atlantic Treaty Organization said.
Frontline Says Tankers Still ‘Vulnerable’; Shares Fall (Update1)
Frontline Ltd., the world’s biggest operator of supertankers, said the market is still “vulnerable” after almost five months of unprofitable rates. The shares fell the most in 2 1/2 months in Oslo trading.
ECONOMIES:
Obama Likely Spurned as China’s North Korean Stance Holds Firm
President Barack Obama’s call for China to put more pressure on North Korea to stop military attacks on South Korea may go unheeded in Beijing, where officials refuse to pin any blame on their ally, analysts say.
‘Dim-Sum’ Debt Rallies on Demand for Yuan Assets: China Credit
Chinese bonds sold in Hong Kong rallied more than debt from the biggest developing nations in the past three months as international investors snapped up the securities to benefit from expected appreciation of the yuan.
Ireland Rating Lowered by S&P as ‘Barbarians’ Gather (Update1)
Ireland’s debt rating was lowered two steps by Standard & Poor’s, with a negative outlook, as the government prepares to unveil a four-year deficit-cutting plan and contagion spread through the rest of the euro region.
Portuguese Strike as Contagion Spreads to Streets: Euro Credit
Portuguese Prime Minister Jose Socrates is facing the country’s biggest strike in 22 years as fallout from Europe’s debt crisis spreads from bond markets to the streets.
Ireland to Detail Budget Plan as ‘Barbarians’ at Gate (Update1)
Ireland’s Finance Minister Brian Lenihan will today lay out a four-year deficit-cutting program that his party may not be around to deliver, as the government’s majority evaporates and a bailout approaches.
OTHER MARKETS:
Stocks, U.S. Futures Rise on Profit, Economy; Irish Bonds Fall
Stocks in Europe rose from a six- week low and U.S. index futures gained after Porsche SE’s profit climbed and German business confidence unexpectedly improved. Spanish and Irish bond yields increased on concern the region’s financial crisis will spread.
Euro Near Two-Month Low on Speculation Debt Crisis Spreading
The euro stayed near a two-month low versus the dollar as concern the sovereign-debt crisis will spread pushed down bonds from the region’s high-deficit nations.
Spanish Finance Minister Elena Salgado said there’s “absolutely” no risk the country will need an international bailout as its borrowing costs compared with Germany’s surged to a euro-era record.
European Stocks Rebound From Six-Week Low; Porsche Shares Climb
European stocks rebounded from a six-week low as Ireland’s government prepared to unveil a four- year deficit-cutting plan. U.S. stock-index futures climbed while Asian shares retreated.
U.S. Stock-Index Futures Increase; Oracle Rises, Autoliv Falls
U.S. stock-index futures increased, indicating that the Standard & Poor’s 500 Index will snap a two- day decline, before reports that may show consumer spending increased last month and factories received more orders.
Oil Fluctuates as Dollar Strengthens Amid Bets on U.S. Demand
Oil fluctuated in New York after a a downgrade to Ireland’s debt rating weakened the euro against the dollar, denting demand for commodities, while traders bet a report will show U.S. crude consumption is rising.
Three Die After Toxic Leak at Oil Refineries’ Haifa Plant
Three workers were killed when toxic gas leaked from the Haifa, Israel, processing plant of Oil Refineries Ltd., the country’s biggest refiner, Israeli police said today.
SPORTS:
Ponting, Strauss Seek to Set Tone for Ashes Success in Opener
Australia captain Ricky Ponting and England counterpart Andrew Strauss intend to lead from the front when their countries resume their 133-year-old cricket rivalry in the Ashes series.
Manchester City May Pay $32 Million for Hulk: Soccer Roundup
The following is a roundup of soccer stories from U.K. newspapers, with clickable links to the Web.
Ajax Captain Suarez May Be Suspended for Seven Games, ANP Says
Dutch football association KNVB proposed to suspend AFC Ajax NV’s player Luis Suarez for seven games after biting PSV Eindhoven player Otman Bakkal, Dutch news agency ANP reported citing the association.
To contact the reporter on this story: Stuart Wallace in London at swallace6@bloomberg.net
To contact the editor responsible for this story: Stuart Wallace at swallace6@bloomberg.net
