BLBG:Oil Near Six-Week High; Gold Price Drops: Commodities at Close
The Standard & Poor’s GSCI gauge of 24 commodities fell 0.4 percent to 650.98 as of 4:31 p.m. in Singapore. The UBS Bloomberg CMCI index of 26 raw materials advanced 0.4 percent to 1,525.07.
CRUDE OIL
Oil traded near the highest price in six weeks after Iran threatened to block crude supplies through the Strait of Hormuz at a time when U.S. stockpiles are falling.
Oil for February delivery was at $101.49 a barrel, up 15 cents, in electronic trading on the New York Mercantile Exchange. It rose $1.66, or 1.7 percent, to $101.34 a barrel yesterday, the highest settlement since Nov. 16. Futures have climbed 11 percent this year after increasing 15 percent in 2010.
NATURAL GAS
OIL PRODUCTS
Fuel oil’s discount to Dubai crude, a measure of refining losses from the fuel, narrowed 24 cents, or 6.7 percent, to $3.40 a barrel at 10:31 a.m. Singapore time, according to data from PVM Oil Associates Ltd. Yesterday, the discount reached $3.65, the widest since Dec. 16. The spread has narrowed 69 percent so far this year, data from the London-based broker showed.
High-sulfur fuel-oil swaps rose $7.75, or 1.2 percent, to $666.75 a metric ton. The premium of 180-centistoke fuel oil to the 380-centistoke grade was unchanged at $11.25 a ton.
PRECIOUS METALS
Cash gold fell for a second day, dropping as much 0.5 percent to $1,586.13 an ounce, the lowest price since Dec. 19. February-delivery futures retreated for a fifth session, the longest period of decline for a most-active contract since the five days to Oct. 28, 2009. They lost 0.3 percent to $1,590.60 in New York.
BASE METALS
Copper for delivery in three months dropped as much as 1.7 percent to $7,510 per metric ton on the London Metal Exchange as trading resumed after the Christmas holidays. The contract was at $7,532 by 4:14 p.m. Tokyo time and is set for a 22 percent drop this year.
GRAINS, OILSEEDS, LIVESTOCK
Corn for March delivery fell as much as 0.5 percent to $6.3025 a bushel on the Chicago Board of Trade. Prices rose 2.2 percent to $6.3325 yesterday, the seventh straight gain and the longest rally since Dec. 29, 2010.
Soybeans for March delivery dropped as much as 1.4 percent to $11.93 a bushel after jumping 3.2 percent yesterday, the most in 11 weeks, on speculation that adverse weather may reduce output. Prices gained 2.9 percent last week and are set to slump 15 percent this year.
SOFT COMMODITIES
Raw sugar for March delivery rose 0.1 percent to settle at 23.61 cents a pound on ICE Futures U.S. in New York yesterday. The price climbed 1.2 percent in the previous two sessions. Brazil is the top grower and exporter.
Arabica-coffee futures for March delivery climbed 1.5 percent to $2.2285 a pound in New York. The price has dropped 7.3 percent this year, heading for the first annual slide since 2008.
Cotton futures for March delivery gained 0.8 percent to 87.91 cents a pound. This year, the fiber has plunged 39 percent, the most since 2004. Orange-juice futures for March delivery climbed 1.6 percent to $1.6995 a pound.
To contact the reporter on this story: Ramsey Al-Rikabi in Singapore at ralrikabi@bloomberg.net
To contact the editor responsible for this story: Alexander Kwiatkowski at akwiatkowsk2@bloomberg.net
