BLBG:Crude Oil, Natural Gas Fall; Rubber Gains: Commodities At Close
The Standard & Poor’s GSCI gauge of 24 commodities dropped 0.4 percent to 631.62 at 4:30 p.m. Singapore time. The UBS Bloomberg CMCI index of 26 raw materials fell 0.5 percent to 1538.651.
CRUDE OIL
Oil dropped for the first time in three days in New York on concern that rising stockpiles signal faltering demand in the U.S., the world’s biggest crude consumer.
Crude for September delivery fell as much as 62 cents to $88.35 a barrel in electronic trading on the New York Mercantile Exchange and was at $88.67 at 9:03 a.m. London time. The contract yesterday rose 47 cents to $88.97, the highest close since July 20. Prices are 10 percent lower this year.
NATURAL GAS
Natural-gas futures declined a second day in New York on forecasts that temperatures will fall and reduce demand from power plants.
Futures for August delivery declined to $3.060 per million British thermal units on the New York Mercantile exchange at 2:18 p.m. Tokyo time. The contract earlier fell as much as 2 cents to $3.054 per million Btu.
OIL PRODUCTS
Fuel oil’s discount to Dubai crude narrowed 16 cents, or 8.4 percent, to $1.80 a barrel at 10:26 a.m. Singapore time, according to data from PVM Oil Associates Ltd., a broker. This discount, a measure of the losses from producing the residue, is the smallest since July 12.
Singapore fuel-oil swaps for August rose $6, or 1 percent, to $629.50 a metric ton, the highest this week.
Gasoil’s premium to Dubai crude rose 7 cents to $17.42 a barrel, rebounding after two days of losses, PVM data showed. Swaps for August increased 85 cents, or 0.7 percent, to $118.35 a barrel.
PRECIOUS METALS
Spot gold was little changed at $1,606.50 an ounce at 3:01 p.m. in Singapore, after swinging between gains and losses. The metal rallied 1.5 percent yesterday, the most since June 29, and touched a three-week high of $1,610.57. December-delivery bullion fell as much as 0.5 percent to $1,604.90 an ounce on the Comex in New York, and was last at $1,609.50.
Cash platinum rose as much as 0.5 percent to $1,406.25 an ounce before trading at $1,404.25. The metal used mainly in autocatalysts slumped to $1,379.25 an ounce on July 24, the lowest level this year, on concern a worsening European crisis will hurt global economic growth and metal demand.
One ounce of platinum bought as little as 0.8693 ounce of gold yesterday, the least since January 9, according to data compiled by Bloomberg. The so-called ratio was at 0.8748 today.
BASE METALS
Copper dropped for the first time in three days as concern Europe’s debt crisis may worsen while growth in China slows, outweighed optimism central banks around the world will take additional steps to boost growth.
GRAINS, OILSEEDS, SOFT COMMODITIES
Palm oil declined on speculation that rain in the U.S. Midwest may help soybean crops that have been hit by the worst drought in more than 50 years, reducing concern that global oilseed supplies will drop.
The October-delivery contract fell as much as 1 percent to 2,922 ringgit ($923) a metric ton on the Malaysia Derivatives Exchange, and ended the morning session at 2,935 ringgit in Kuala Lumpur. Futures are poised for a third weekly decline.
Corn for December delivery rose 0.5 percent to $7.9175 a bushel on the Chicago Board of Trade, erasing an earlier loss of 1.1 percent.
Wheat for September delivery lost as much as 2.2 percent to $8.835 a bushel in Chicago, before trading at $8.935. Futures jumped 43 percent since June 15.
Soybeans for November delivery declined as much as 2.1 percent to $15.8175 a bushel on the Chicago Board of Trade, before trading at $15.8825 at 2:44 p.m. Singapore time.
December-delivery soybean oil fell 0.8 percent to 52.57 cents a pound on the Chicago Board of Trade. Most-active soybeans, which have rallied 32 percent this year and touched a record on July 23, traded 1.4 percent lower at $15.9225 a bushel.
Rubber advanced after a decline in U.S. new home sales raised optimism the Federal Reserve may take additional measures to stimulate the economy, increasing demand for the commodity used in tires and gloves.
To contact the reporter on this story: Sharon Chen in Singapore at schen462@bloomberg.net
To contact the editor responsible for this story: Alexander Kwiatkowski at akwiatkowsk2@bloomberg.net
