Brent crude dips under $114, focus shifts to China
September 18 2012 4:07 AM
Brent crude slipped under $114 a barrel on Tuesday, adding to steep losses in the previous session, as investors weighed the impact of the Federal Reserve's open ended stimulus push on oil demand and eyed China's next step to boost its economy. Brent crude fell more than $5 a barrel late on Monday in a wave of late, high-volume selling that many traders said appeared to have stemmed from an automated computer trading program. The U.S. Commodity Futures Trading Commission said it was lookin...
Pre-Opening Soy Complex Market Report 9/17
September 17 2012 10:39 AM
November soybeans are trading 29 cents lower near 7:30 am cst. Soybean meal and oil are also trading sharply lower. The Malaysian Palm Oil market was closed for holiday but it is being reported that Malaysian palm oil exports for September 1-15 rose by 12.1% to 680,112 tonnes from 606,449 tonnes for the same period in August. China soybeans were down 1.3% overnight. There were 76 soybean deliveries and 5 soybean meal deliveries after the close Friday. There were also 249 soybean oil deliveries b...
Pre-Opening Corn Market Report for 9/17/2012
September 17 2012 10:38 AM
December corn is trading 14 cents lower near 7:30 am CST and there were 18 September corn deliveries overnight bringing the month-to-date total to 18 contracts. Dalian corn traded 0.7% lower overnight. Most commodity markets were under pressure overnight following the higher trade on Friday. Tensions in the Middle East along with a more cautious mood by investors weighed on markets. The Euro fell against the US Dollar which added to the negative tilt to commodities. Corn was also pressure from a...
Pre-Opening Wheat Market Report 9/17
September 17 2012 10:37 AM
December Chicago wheat is trading 12 cents lower near 7:30 am CST. Kansas City and Minneapolis wheat are lower as well. Minneapolis wheat is gaining on KC and Chicago. The November Matif Milling wheat contract is trading 3.50 Euros lower. There were 44 September Chicago wheat deliveries overnight bringing the month-to-date total to 969 contracts. Commodity markets were under pressure overnight following gains seen last week. Tensions in the Middle East along with a more cautious mood by investor...
Morning Cattle Market Report 9/17
September 17 2012 10:36 AM
The market remains somewhat vulnerable to more selling with a weak chart pattern but declining supply and the outlook for tightening supply into the 4th quarter should help to provide underlying support. In fact, beef production is expected to fall 505 million pounds from this quarter to the 4th quarter, which will be the third largest drop on record.
Morning Hog Market Report 9/17
September 17 2012 10:36 AM
December hogs saw an impressive run higher last week due to "talk" that the seasonal weakness may be about finished. The typical seasonal decline in hog prices into November stems from the normal production cycle, as pork production typically increases by 400 million to 500 million pounds from the 3rd to the 4th quarters. This year, however, the USDA is forecasting pork production to increase by 740 million pounds, which would be the second highest on record.
Morning Gasoline Market Report 9/17
September 17 2012 10:33 AM
October RBOB prices took on a slightly lower track during the initial morning hours, perhaps under modest outside pressure following Friday's upside reversal. While the latest round of Fed quantitative easing could provide a boost to US gasoline demand, it remains about 2.0% below year ago levels. At the same time, supply flows are expected to pick up in the near term, from a boost in Gulf coast refinery capacity as well as shipments coming from Europe.
Morning Crude Oil Market Report 9/17
September 17 2012 10:33 AM
October crude oil prices traded lower during the overnight and initial morning hours, under modest pressure from slowing economic growth concerns in China, as well as profit-taking after recent gains. Some traders also pointed to a slight pullback in risk-taking sentiment as a force weighing on crude oil. Meanwhile, some of the support in the crude oil market comes from growing tensions in the Middle East, with protests at the Afghan capital, as well as a growing urgency from Israel's Prime M...
Morning Heating Oil Market Report 9/17
September 17 2012 10:31 AM
October heating oil prices traded flat to lower during the initial morning hours. The heating oil market closed higher in six of the last seven sessions, and that has some traders suggesting that the market could be technically overbought in the near term. The Commitments of Traders Futures and Options report as of September 11th showed non-commercial traders were net long 14,510 contracts, a decrease of 2,381.
Morning Natural Gas Market Report 9/17
September 17 2012 10:31 AM
October natural gas prices grinded lower during the initial morning hours and fell to a new four day low in the process. The market experienced some profit-taking selling pressure during Friday's session, and that sent prices back below the $3.00 level. Some traders were concerned over US weather forecasts that continue to show moderating temperatures and not expected to offer any significant boost to natural gas demand.
Morning Copper Market Report 9/17
September 17 2012 10:28 AM
As with other precious metals markets, copper has entered the new trading week under pressure as fear of a trade war between the US and China and anxiety between China and Japan were widely seen to be weighing on prices. Adverse currency market action, weaker industrial commodity prices action and lower equities may also be negative factor for copper early this week. Asian copper prices may have found fresh pressure from concerns of further limits on Chinese property investment.
Brent crude up for eighth day near $117; economic risks may cap rise
September 17 2012 4:31 AM
Brent crude rose for the eighth consecutive session on Monday to just below $117 a barrel, though prices stayed under a four-month peak hit on Friday on worries that high oil prices could hamper efforts to boost a struggling world economy. Oil has been boosted by the U.S. Federal Reserve's aggressive moves last week to stimulate the world's biggest economy, but Brent crude's rally of about a third since late June could backfire by undermining demand in a fragile economy. "The current...
Coal News Indonesia
September 17 2012 4:13 AM
Atlas Resources has secured a 20-year coal supply contract with a state utility company, with the resources firm angling for three additional contracts. In a filing to the Indonesia Stock Exchange on Friday, the company said that through its subsidiary Hanson Energy, it had signed an agreement to supply 429,000 metric tons annually to Perusahaan Listrik Negara's coal-fired power plant in Teluknaga, Banten. The company will supply low-calorie coal to PLN for two decades, to 2031. Atlas directo...
Pre-Opening Wheat Market Report
September 14 2012 10:10 AM
December Chicago wheat is trading 14 cents higher near 7:30 am CST. Kansas City and Minneapolis wheat are higher as well but lagging the move in Chicago. The November Matif Milling wheat contract is trading 3 Euros higher. There were 20 September Chicago wheat deliveries overnight bringing the month-to-date total to 925 contracts. Most commodity markets were stronger overnight following the Feds decision to allow for more monetary easing for an undisclosed period of time. The US Dollar is tradin...
Pre-Opening Corn Market Report for 9/14/2012
September 14 2012 10:09 AM
December corn is trading 5 1/2 cents higher near 7:30 am CST and there were no September corn deliveries. Dalian corn traded higher overnight. Most commodity markets were stronger overnight following the Feds decision to allow for more monetary easing for an undisclosed period of time. Crude oil hit $100 for the first time since May the sharp gains in wheat are providing a positive tilt to corn this morning. The US Dollar is trading lower for the 4th day in a row to a 10-month low and European a...
Pre-Opening Soy Complex Market Report 9/14
September 14 2012 10:08 AM
November soybeans are trading 9 1/2 cents higher near 7:30 am cst. Soybean meal and oil also posted sizeable gains overnight. Malaysian Palm Oil prices traded higher overnight after the Fed announced their stimulus plans. There was no soybean or soybean meal deliveries. There were 223 soybean oil deliveries bringing the month-to-date total to 8,046 contracts. Asian equity markets posted sizable gains during the overnight session, with the Japanese Nikkei up 1.83% and the Shanghai A Share Index u...
Morning Hog Market Report 9/14
September 14 2012 10:07 AM
The typical seasonal decline in hog prices into November stems from the normal production cycle as pork production normally increases by 400 million to 500 million pounds from the third quarter to the 4th quarter of the year. Traders see a steeper than average decline this year as pork production is expected to increase by 740 million pounds, which would be the second highest on record. The largest increase occurred in 2007 and December hogs that year reached a contract high of 74.72 in early Au...
Morning Cattle Market Report 9/14
September 14 2012 10:06 AM
The new high for the move and lower close leaves October cattle vulnerable to increased technical selling and profit-taking selling over the near-term. The surge up in the Texas cash market to the $126.00 to $127.00 level late Wednesday, up $2-$3 from the week prior left traders nervous over hefty losses for packer margins into next week and the possibility that packers cut-back on kills.
Morning Crude Oil Market Report 9/14
September 14 2012 10:04 AM
October crude oil prices traded higher during the initial morning hours and eclipsed the $100.00 mark in the process. There appeared to be a number of positive catalysts working in crude oil's favor, including a favorable shift in risk-taking sentiment following yesterday's Fed decision, a new four month low in the US dollar and ongoing tensions in the Middle East.
Morning Natural Gas Market Report 9/14
September 14 2012 10:04 AM
October natural gas prices traded close to unchanged levels throughout most of the morning hours as it seemed to consolidate this week's gain. The market had a disappointing reaction to yesterdays EIA storage data that showed an as expected injection of 27 bcf. Total storage stands at 3,429 bcf or 9.0% above the 5 year average. Over the last four weeks natural gas storage has increased 168 bcf.