Friday, April 15, 2011

20110415 1823 FCPO EOD Daily Chart Study.

FCPO closed : 3236, changed : -46 points, volume : lower.
Bollinger band reading : side way range bound little downside biased.
MACD Histrogram : weakening, buyer leaving as seller testing market.
Support : 3200, 3150, 3100, 3070 level.
Resistance : 3250, 3270, 3300, 3350 level.
Comment :
FCPO closed recorded losses with lower volume changed hand after export data released continue to under perform while soy oil overnight closed lower and currently trading weaker. Negative sentiment accelerated after no sign of improve demand with increasing supply(higher production and stock level) problem remained unsolved.
Daily chart formed a down bar candle closed near lower Bollinger band level after market opened tested little higher and slide downward all the way to closed near the low  of the day.
Technical chart reading turned to suggesting a side way range bound little downside biased market development testing lower support level with MACD indicator about to have a negative cross down.
When to buy : buy at support or weakness with quick cut loss and profit target.
When to sell : sell at resistant or strength with quick cut loss and profit target.

20110415 1738 FKLI EOD Daily Chart Study.

FKLI closed : 1519 changed : +3 points, volume : lower.
Bollinger band reading : side way range bound.
MACD Histrogram : falling lower, seller in control.
Support : 1515, 1500, 1485, 1470 level.
Resistance : 1530, 1540, 1550, 1565 level.
Comment :
FKLI closed recorded marginal gain with decreasing volume changed hand doing about 3 points discount compare to cash market ahead of tomorrow Sarawak state election while Asia markets ended mostly lower while European markets currently trading mixed. News wise, China reported economy growth of 9.7% and inflation accelerated to 5.4% for the 1st quarter 2011. On the other hand, financial troubled Portugal managed to redeems 4.2 billion Euro bond as scheduled. 
Daily chart formed a classic doji bar candle positioned in between middle and lower Bollinger band after market opened little higher, traded within a 11.5 points range bound movement testing high and low before closed little above opening price.
Technical reading still suggesting a side way range bound market development testing support and resistance level.
When to buy : buy at support or weakness with quick cut loss and profit target.
When to sell : sell at resistant or strength with quick cut loss and profit target.

20110415 1542 Global Market & Commodities Related News.

Stocks poised for first weekly drop in a month
HONG KONG, April 15 (Reuters) - Asian shares were poised for their first weekly losses in a month, as investors took profits after a recent rally while a pick-up in inflationary pressures sent gold racing to yet another record high on Friday.
"The weakness in markets this week is expected after the smart comeback we have seen recently with inflationary concerns again coming to the forefront," said Jan Lambregts, global head of financial markets research at Rabobank.

Moody’s Cuts Ireland Rating Two Levels, Outlook Negative (Source: Bloomberg)
Ireland’s credit rating was cut two levels by Moody’s Investors Service to the lowest investment grade rating as the government struggles to plug the budget deficit and restore economic growth.

European Stocks, U.S. Futures Are Little Changed; Nestle, Syngenta Climb (Source: Bloomberg)
European stocks and U.S. index futures were little changed as better-than-forecast results at companies from Nestle SA to Syngenta AG offset a report that China’s inflation accelerated to the fastest pace since 2008. Asian shares retreated.

Asia Stocks Decline as China Inflation Boosts Rates Speculation (Source: Bloomberg)
Asian stocks fell, dragging the regional index toward its first loss in four weeks, after China reported that inflation in the world’s second-largest economy increased faster than estimated, increasing speculation that the government will need to do more to contain growth.

Nestle Sales Beat Analyst Estimates on Emerging Markets (Source: Bloomberg)
Nestle SA (NESN), the world’s largest food company, reported first-quarter sales growth that beat analysts’ estimates, helped by sales of Maggi noodles in India and Pure Life bottled water in emerging markets.

Greece to Unveil Austerity Measures to Meet Deficit Goals (Source: Bloomberg)
Greece will announce measures today to meet its deficit-reduction goals after the country’s bond yields hit new highs amid talk it may restructure its debt.

India Inflation Quickens to 8.98%, Increasing Pressure on Rates
India’s inflation accelerated in March, beating the central bank’s estimate and increasing pressure for higher interest rates. The benchmark wholesale-price index rose 8.98 percent from a year earlier after an 8.31 percent gain in February, the commerce ministry said in a statement in New Delhi today. The median forecast of 28 economists in a Bloomberg News survey was for an 8.36 percent increase.

U.S. wheat rises, corn steady on supply concerns
SINGAPORE, April 15 (Reuters) - U.S. wheat futures rose around half a percent on Friday and  corn was steady, with tight supplies and broad-based strength across commodities continuing to support grains.
"We have seen a firmer open in the grains and oilseed complex which is correlating with a firmer open in the crude oil market as well," said Luke Mathews, a commodity strategist with Commonwealth Bank of Australia in Sydney.

Manila's NFA seeks extra rice imports to build reserves
MANILA, April 15 (Reuters) - The Philippines' National Food Authority said on Friday it is seeking offers from local traders to import an additional 187,000 tonnes of rice this year to build up reserves of the national staple in case of any supply problems.
The volume is on top of the 860,000 tonnes that the Southeast Asian country, the world's top buy in recent years, already plans to import this year.

Kraft to sell Gevalia coffee at US supermarkets
NEW YORK, April 14 (Reuters) - Kraft Foods Inc  will begin selling its Gevalia coffee at supermarkets and other U.S. retailers in August, the company said on Thursday.
The move gets Kraft back into the U.S. premium grocery coffee business after its contentious split with Starbucks Corp  this March. The companies had been long-time grocery distribution partners.

Ivory Coast lifts ban on cocoa exports, taxes
ABIDJAN, April 14 (Reuters) - Ivory Coast's President Alassane Ouattara formally lifted a nearly three-month ban on cocoa and coffee exports as well as on related tax payments, his television channel said on Thursday.
"The president of the republic orders that the measures suspending coffee and cocoa exports as well as tax payments be lifted," TCI television said.

Argentine soy, corn output seen higher-exchange
BUENOS AIRES, April 14 (Reuters) - Argentina's 2010/11 soy harvest is expected to come in at 49.2 million tonnes, up from a previous prediction of 48.8 million tonnes, the Buenos Aires Grains Exchange said on Thursday.
"The harvest of the first plots in northwestern and northeastern parts of the country promises very high production," the weekly report said.

N.American Q1 2011 cocoa grind rises 2.16 pct
NEW YORK, April 14 (Reuters) - North American cocoa grindings rose in the first quarter of 2011 at the low end of forecasts, as many countries were believed to have made up for a lack of processing from top grower Ivory Coast.
Grindings rose 2.16 percent to 118,633 tonnes, up from 116,122 tonnes in the first quarter of 2010, data from the National Confectioners Association showed Thursday.

Crushing of Brazil cane crop spreads, yields up
SAO PAULO, April 14 (Reuters) - Ninety mills have begun crushing Brazil's 2011/12 cane crop (April-March), industry association Unica said Thursday, adding that about 200 more are expected to begin operating over the next few weeks.
A year ago, the number of mills working was much higher as there were 60 million tonnes of cane left uncut from the previous cycle that were ready to be harvested.

London trims gains, Shanghai falls after China data
SINGAPORE, April 15 (Reuters) - Shanghai copper declined and London prices trimmed early gains on Friday, as worries on further tightening in China lingered after data showed strong economic growth and a 32-month high for March consumer prices.
"The market is still worried about tightening," said Zhou Jie, an analyst at Shanghai CIFCO Futures, "But prices are unlikely to drop much as physical market is pretty supportive."

China March refined copper, aluminium output hit records
HONG KONG, April 15 (Reuters) - China's production of refined copper and primary aluminium rose 23.7 percent and 7.4 percent respectively from a year earlier in March, hitting monthly records for both metals on expanded capacity and sufficient supply of raw materials.
China produced 470,000 tonnes of refined copper in March, up from the previous monthly record of 444,000 tonnes in December 2010, and a rise of 21.8 percent from the short month of February, data from the National Bureau of Statistics showed on Friday.

China March daily crude steel output dips 1 pct from Feb
SHANGHAI, April 15 (Reuters) - China's daily crude steel output in March fell 1 percent after hitting a record high in February, data from the National Bureau of Statistics showed on Friday.
China produced 59.42 million tonnes of crude steel in March, which was up 9 percent from February because of the holiday-shortened month.

Gold hits record on weak dollar, China inflation data
SINGAPORE, April 15 (Reuters) - Gold jumped to another record high on Friday after the dollar fell to its lowest since late 2009 against a basket of major currencies, taking silver to a 31-year high, while inflation pressures in China also helped lift bullion's appeal.
"We see gold peaking at $1,500 an ounce. We think there could be some more upside in gold in the short term, especially in this environment of high inflation and rising oil prices," said" Natalie Robertson, commodities strategist at ANZ.

Gold Surges to Record as Inflation Concern Stokes Demand (Source: Bloomberg)
Gold gained to a record and silver climbed to the highest level in 31 years as inflation in China accelerated more than forecast, underscoring the challenge that central bankers worldwide face in combating rising prices.

Oil Trades Near Three-Day High Amid China's Economic Expansion, Inflation (Source: Bloomberg)
Oil traded near the highest in three days in New York as investors weighed accelerating inflation in China against economic expansion in the world’s second-biggest crude user.

20110415 1148 Global Market & Commodities Related News.

GLOBAL MARKETS: Shares weaken on growth concerns, China data eyed
HONG KONG, April 15 (Reuters) - Shares in Asia's developed stock markets dipped and the dollar struggled at 16-month lows on Friday as disappointing U.S. data and a likely pickup in Chinese inflation gave market players an excuse to take profits after a recent sharp rally.   
"The market overshot and profit-taking moves are expected," said Yoo Kyung-ha, a market analyst at Dongbu Securities.

OIL: Crude rises for 3rd day toward $109/bbl
TOKYO, April 15 (Reuters) - U.S. crude futures extended gains for a third day on Friday, supported by the dollar hovering at 16-month lows and no clear end to fighting in Libya that has cut supplies from the OPEC nation.
Saudi Shi'ites in the oil-producing east took to the streets in protest, calling for the release of prisoners and an end to human rights violations.

NATURAL GAS: Natural gas ends up near 2 pct after supportive EIA
NEW YORK, April 14 (Reuters) - Front-month U.S. natural gas futures reversed course and ended higher on Thursday after a government report showed a weekly inventory build well below market expectations.
"Prices moved up after the (EIA build) number, but on a weather-adjusted basis, I don't think it was as supportive as some people think," a Massachusetts trader said, noting the unexpectedly light build triggered short covering by funds.

EURO COAL: June Newcastle cargoes trade at $120.50/T
LONDON, April 14 (Reuters) - Physical coal and coal swaps values were little changed on Thursday, regaining some earlier losses after U.S. oil rose by 41 cents following a Sunoco refinery fire and the dollar weakened on an unexpected rise in jobless claims
"We're still getting offers of American coal but I don't think anybody wants or needs it," one utility source said.

COMMODITIES: Crude, precious up; Chinese inflation hits metals
NEW YORK, April 14 (Reuters) - Commodity markets were mixed on Thursday, with precious metals and oil rising on the back of a weaker dollar and copper falling 1 percent on reports of quickening inflation in top consumer China.
"Especially in copper, there's a fear of possible rate hikes in China," Eugen Weinberg, an analyst at Commerzbank, said.

S.Korea's March LNG, coal imports jump y/y
SEOUL, April 15 (Reuters) - South Korea hiked liquefied natural gas (LNG) and coal imports in March from a year ago as the world's second-largest buyer after Japan boosted consumption on economic recovery and helped Japan with LNG and coal supplies after last month's quake.
Bullish oil prices also spurred LNG and coal demand for power generation, industry experts said. 

Oil has room to rise before recession kills demand
LONDON, April 14 (Reuters) - Oil could climb well above $150 a barrel before it tips the developed world into recession, leaving some scope for producer nations to carry on earning petrodollars without destroying fuel demand.
Representatives of consumer countries have said prices are already high enough to dent fuel use, although the International Energy Agency and OPEC both kept their 2011 oil demand growth forecasts unchanged in reports this week.

20110415 1001 Local & Global Economic Related News.

Malaysia: MIER holds 2011 GDP growth forecast at 5.2%
The Malaysian Institute of Economic Research (MIER) is maintaining its projection of a moderate 5.2% expansion in the country’s GDP from last year’s 7.2% and expects the growth to improve to 5.5% next year. Executive director Dr Zakariah Abdul Rashid said this year’s GDP would be weighed down by structural impediments in net exports despite strong domestic demand due to supportive government policy measures. (FinancialDaily)

China: Inflation marches to 5.4% from last year
Chinese inflation in March accelerated to 5.4% from a year earlier, reinforcing the government’s vow to rein in price rises. Economists polled by Reuters had expected annual inflation in March to be 5.2%, up from February’s 4.9%. (Starbiz)

China: Reserves exceed USD3trn as Wen resists Yuan pressure
China’s foreign-exchange reserves exceeded USD3trn for the first time, highlighting global imbalances that Group of 20 finance chiefs aim to tackle at meetings in Washington. China’s currency holdings, the world’s biggest, swelled by USD197bn in the first quarter to USD3.04trn, the central bank said yesterday. New loans were a more-than-estimated 679.4bn yuan (USD104bn) in March, it said. Premier Wen Jiabao’s policy of controlling the currency, along with trade surpluses and flows of capital into the fastest-growing major economy, has boosted the reserves by USD1trn in two years. G-20 finance chiefs are seeking to agree on an earlywarning system that can prevent the type of imbalances in trade and financial patterns that contributed to the 2007-09 crisis and recession. (Bloomberg)

Japan: Economy to expand next quarter, BOJ’s Shirakawa says
Bank of Japan Governor Masaaki Shirakawa said the economy will expand in the third quarter as it recovers from the nation’s worst earthquake on record. The central bank’s most important function is to maintain stability in aftermath of the crisis and it will continue to take whatever measures are needed, Shirakawa said today in a speech at the Council on Foreign Relations in New York. The magnitude-9 earthquake and tsunami on 11 March left more than 28,000 dead or missing, according to Japan’s National Police Agency. The government last month estimated the damage by the disaster may swell to as much as 25trn yen. (Bloomberg)

EU: Greece to unveil new austerity measures to meet deficit goals
Greece will announce new measures today to meet its deficit-reduction goals after the country’s bond yields hit new highs amid talk it may restructure its debt. The government’s medium term-fiscal policy plan will detail more than EUR22bn (USD31.9bn) of deficit-reduction measures through 2014, most of them in spending cuts, according to Finance Minister George Papaconstantinou. The government is also expected to unveil plans to raise EUR15bn by 2013 through state-asset sales. (Bloomberg)

US: Wholesale prices rise 0.7%, led by energy, trucks
Wholesale costs in the US rose 0.7% in March, led by higher prices for energy, light trucks and passenger cars. The increase in the producer-price index was smaller than forecast as food prices unexpectedly dropped for the first time since August, Labor Department figures showed today in Washington. The median projection in a Bloomberg News survey was for a 1% gain. The so-called core measure, which excludes volatile food and energy costs, increased 0.3%, more than estimated.

20110415 1000 Malaysia Corporate Related News.

  KLCI chart reading :
correction range bound upside biased.

YTL may buy back subsidiaries
YTL Corp is on an acquisition trail which could see it buying back its own subsidiaries, if no other attractive opportunities emerge. Managing director Tan Sri Francis Yeoh said its current balance sheet position and promise of higher dividends from its subsidiaries has put it in a position to be able to look at mergers and acquisitions efficiently. He expects subsidiaries such as YTL Power International and YTL Cement to announce some RM1bn dividends to its parent for the financial year ending 30 June, 2011. YTL Land & Development is expected to start paying dividends next year after wiping out its losses. (BT)

MAS to spend RM7.3bn on fleet renewal in next 4 years National carrier Malaysia Airlines (MAS) is expected to fork out some USD2.4bn (RM7.3bn) over the next four years for the purchase of 15 new A330-300 airplanes, in line with its fleet renewal exercise as well as its effort to trim down operational cost. With a list price of USD16m per aircraft, managing director and chief executive officer Tengku Datuk Seri Azmil Zahruddin said the new and improved A330-300 is expected to reduce fuel consumption and lower its operational costs by 15% through efficient management of fuel consumption and maintenance programmes, incorporating Airbus’ latest technology and design.(Malaysian Reserve)

SP Setia plans residential apartments in Singapore, GDV SGD130m
SP Setia plans to undertake a multi-storey residential apartment building at Woodsville Close in Singapore with an estimated gross development value of SGD130m. The company said on Thursday, 14 April its subsidiary SP Setia International (S) Pte Ltd had signed a sale and purchase agreement with 27 strata units’ subsidiary proprietors at Leong Bee Court. The acquisition would include the strata units and common property on a 0.68 acre site for SGD65m or RM159m. “The land is square shaped with a flat terrain which makes re-development potential very attractive. The purchaser proposes to undertake a re-development of the said land into a multistorey residential apartment building. Based on the preliminary feasibility study and subject to the approvals of the relevant authorities, the proposed project is expected to have an estimated GDV of approximately SGD130m or approximately RM318m,” it said. (Financial Daily)

Khazanah to build companies to list, boost jobs
Khazanah National aims to build new businesses and list them within five years to accelerate job creation and economic growth. Khazanah, which manages a RM75bn (USD25bn) portfolio and holds the biggest stakes in four of the nation’s 12 largest publicly traded companies by sales, also invests in resorts and hospitals. The sovereign wealth fund didn’t say which of the new companies will be listed. “We need to create jobs, we need to create new economic activity, those are the kind of roles which the larger part of the market don’t see,” managing director Tan Sri Azman Mokhtar said in an interview in Kuala Lumpur. “Our ambition is that these companies must be done and validated by the market, and eventually may be in three, maybe five years, ready for listing.” Khazanah is building new companies as Malaysia boosts investments after the economy expanded 7.2% last year, the most in a decade. (StarBiz)

IPO-bound Boilermech sees hot annual revenue growth
Boilermech Holdings, en route for Bursa Malaysia’s ACE Market listing in May, aims to sustain an annual revenue growth of between 15% and 20%, based on the projected growth of palm oil production in Indonesia and Malaysia. Its executive director Chia Lik Khai said based on studies conducted, the projected 8% to 10% annual growth in palm oil production is expected to contribute positively to the company’s earnings. Boilermech is primarily involved in design, manufacturing, installation and commissioning of biomass boilers and also undertakes biomass boilers repair and refurbishment services. (Malaysian Reserve)

Water bondholders expect full payments if Govt buys back bonds
Water bondholders are not accepting any haircut in the potential Government buyback of the financially-troubled bonds, according to sources. Against the point that bondholders had, in the first place, undertaken a risky investment that had not performed, the counter argument is that bondholders had played their part in the privatisation and socio-economic development of the country. Hence, the subtle message might be that they expected the Federal Government to honour the payments in full, especially if they were to continue to support further privatisation projects, analysts said. If Pengurusan Aset Air (PAAB), the Government's water asset management company with large coffers, stepped in to buy over the bonds, there might not be a need for a haircut, they added. A haircut occurs if the face value of the bonds decreases. So far, the outstanding water bonds that are rated, excluding the ones issued by PAAB, amount to RM6.7bn out of the total issued of RM9.02bn. (StarBiz)

SEGi sees 4% increase in earnings in JV with Korean university
SEG International is teaming up with Chung Cheong University in South Korea to train and place nurses and allied health professionals in the US, Canada and Europe. SEGi said on Thursday, 14 April the academic collaboration was expected to contribute an increase in earnings of approximately 4% to the group for FY ending 31 Dec, 2011. It said the collaboration was also expected to contribute positively to the earnings and net assets of the group for the future years. (Financial Daily)

MSM plans takeovers, investments in region
MSM Malaysia Holdings, the main board-bound listing vehicle of Felda Global Ventures Holdings SB (FGVH), plans to pursue strategic acquisitions and investments, particularly in South-East Asia. The move would be part of the company's effort to expand existing production and diversification outside Malaysia, according to a draft prospectus posted on the Securities Commission website. MSM is the country's leading sugar producer with annual production capacity of 1.1m tonnes of refined sugar via subsidiaries Malayan Sugar Manufacturing Co in Prai and Kilang Gula Felda Perlis SB (KGFP) in Chuping, Perlis. Currently, MSM controls about 57% of the total sugar production in Malaysia. (StarBiz) 

20110415 0956 Global Market Related News.

 DJIA chart reading : correction range bound little upside biased.

 Hang Seng chart reading : correction range bound upside biased.

 Consumer Confidence in U.S. Rises Third Straight Week on Job-Market Gains (Source: Bloomberg)
Confidence among U.S. consumers rose for a third straight week, indicating an improving job market is shoring up Americans’ attitudes toward their finances and the economy.

Geithner Says Financial Markets Showing Confidence in U.S. Fiscal Position (Source: Bloomberg)
Treasury Secretary Timothy F. Geithner said financial markets have “confidence” in U.S. government finances as politicians seek to narrow a record budget deficit. There is “a lot of confidence in markets that the American political system will be able to get our fiscal path in a sustainable position,” Geithner said today at an event in Washington sponsored by the Bertelsmann Foundation.

US retail sales up modestly; growth forecasts pared
WASHINGTON, April 13 (Reuters) - U.S. retail sales posted their smallest gain in nine months in March, as auto sales plunged and consumers felt the sting of higher gas prices.
In another sign that economic growth slowed in the first quarter, the government on Wednesday separately reported a sharp slowdown in the accumulation of inventories by businesses in February.

China Reserves Exceed $3 Trillion as Wen Resists Yuan Pressure (Source: Bloomberg)
China’s foreign-exchange reserves exceeded $3 trillion for the first time, highlighting global imbalances that Group of 20 finance chiefs aim to tackle at meetings in Washington.

China Reserves Exceed $3 Trillion as Wen Resists Yuan Pressure (Source: Bloomberg)
China’s foreign-exchange reserves exceeded $3 trillion for the first time, highlighting global imbalances that Group of 20 finance chiefs aim to tackle at meetings in Washington.

Japan Stocks Fall on Report Toyota to Delay Earnings Forecast After Quake (Source: Bloomberg)
Japanese stocks fell, sending the Nikkei 225 Stock Average to its first weekly decline in four, after a report Toyota Motor Corp. will delay its earnings forecast amid earthquake damage and disruption of parts supplies.

Japan's Noda Says He Will Call for Continued Currency Cooperation at G-7 (Source: Bloomberg)
Japanese Finance Minister Yoshihiko Noda said he will call for continued cooperation on currencies at a meeting of Group of Seven officials today in Washington. “We are going to call for cooperation when necessary, while closely monitoring the currency market,” Noda said at a press conference. The yen was at 83.49 to the dollar at 5:27 p.m. in New York from 83.84 yen late yesterday.

Japan’s Economy to Expand Next Quarter, BOJ’s Shirakawa Says (Source: Bloomberg)
Bank of Japan Governor Masaaki Shirakawa said the economy will expand next quarter as it recovers from the nation’s worst earthquake. “Most private economists believe that Japan’s GDP growth rate will turn positive again in the third quarter of 2011 onward,” Shirakawa said today in a speech at the Council on Foreign Relations in New York. “The most important thing for a central bank during a crisis is to ensure the stability of settlement systems and financial markets.”

Japan corp mood down by record -Reuters Tankan
TOKYO, April 14 (Reuters) - Japanese corporate confidence plunged by a record amount in April and is seen worsening further after last month's earthquake and tsunami devastated Japan's northeast and triggered a nuclear crisis, a Reuters poll showed. The monthly poll, which has a 95 percent correlation with the Bank of Japan's closely watched quarterly tankan survey, came as the disaster continued to paralyse factory output, supply chains and power supplies, dampening business and consumer sentiment.

Japan firms hit by supply woes after disasters
TOKYO, April 14 (Reuters) - The earthquake and tsunami that devastated Japan and triggered a nuclear crisis have negatively affected nearly 60 percent of Japanese companies, disrupting production and supply chains, a Reuters poll showed on Thursday.  While manufacturers were hit especially hard, there are already some tentative signs of recovery, underscoring that the impact -- at least for some firms -- may not be long-term.

Yen Declines Before Chinese Economic Growth, European Inflation Numbers (Source: Bloomberg)
The yen weakened against all its major counterparts before China publishes first-quarter economic growth data amid reports of better-than-forecast results. The euro was 0.2 percent from a 15-month high versus the dollar before a report that economists said will show European inflation quickened last month, giving the central bank more reason to raise interest rates. The common currency pared a weekly loss against the yen after European Central Bank Governing Council member Athanasios Orphanides said the region’s economy is recovering ‘quite well’.
“We’re seeing a bit of risk appetite come back to the market and that’s seeing the yen weaken,” said Jim Vrondas, a manager at the online foreign-exchange dealer OzForex Ltd. in Sydney. “Those China numbers have the potential of improving the outlook toward Asia and risk sentiment in the region.” The yen fell to 121.36 per euro as of 8:57 a.m. in Tokyo from 120.97 in New York yesterday. Japan’s currency declined to 83.68 per dollar from 83.50. The euro traded at $1.4500 from $1.4488 after rising to $1.4520 on April 12 and 13, the highest since January 2010.

South Korea Price Pressures Will Ease This Quarter, Finance Minister Says (Source: Bloomberg)
Consumer-price pressures in South Korea will begin to ease in the second quarter while staying “strong” enough for the government to weigh steps to tame inflation , the nation’s finance minister said.

Singapore’s Policy Tightening May Widen Asian Inflation Fight (Source: Bloomberg)
Singapore’s third monetary policy tightening in a year may prompt Asian central banks to allow further interest-rate and currency gains to prevent surging prices from hurting their economies.

Reserve Bank Conflicted Managing Interest Rates, Bond Sales: India Credit (Source: Bloomberg)
The Reserve Bank of India is facing conflicts in its dual role of fighting inflation and managing the government’s debt issuance, according to former governor Bimal Jalan. The most-active 2022 bonds are headed for a third week of losses, with the yield reaching a two-month high of 8.18 percent as the Reserve Bank held the first government debt auction of the fiscal year on April 8 and prepared to meet to set monetary policy on May 3. Jalan, chairman of the Centre for Development Studies, said policy makers may be discouraged from raising interest rates to keep price increases in check.

Greece to Unveil New Austerity Steps to Meet Deficit Goals as Yields Soar (Source: Bloomberg)
Greece will announce new measures today to meet its deficit-reduction goals after the country’s bond yields hit new highs amid talk it may restructure its debt.

Australian Dollar Near Record High Before China's Retail Sales, Inflation (Source: Bloomberg)
The Australian dollar approached a record high before reports today forecast to show China’s retail sales and consumer prices rose last month, adding to signs the region’s economic recovery is gaining momentum.

Qaddafi Taunts as NATO Seeks More Warplanes to Hit his Forces (Source: Bloomberg)
NATO’s chief said the alliance needs more attack jets to target Libyan ground forces, as Muammar Qaddafi was shown on state television pumping his fists in the air through the open sunroof of a silver SUV in Tripoli. U.S. President Barack Obama, U.K. Prime Minister David Cameron and French President Nicolas Sarkozy jointly declared yesterday that allowing Qaddafi to remain in power “would be an unconscionable betrayal.”

BRICS demand global monetary shake-up, greater influence
SANYA, China, April 14 (Reuters) - The BRICS group of emerging-market powers kept up the pressure on Thursday for a revamped global monetary system that relies less on the dollar and for a louder voice in international financial institutions.
The leaders of Brazil, Russia, India, China and South Africa also called for stronger regulation of commodity derivatives to dampen excessive volatility in food and energy prices, which they said posed new risks for the recovery of the world economy.

FOREX-Euro slips, yen's broad strength continues
NEW YORK, April 14 (Reuters) - The euro slipped on Thursday, undermined by concerns Greece could be forced to restructure its massive debt, although the currency's losses may be capped by a higher interest rate outlook in the euro zone.
The yen, however, continued its broad surge as investors pared short positions on the Japanese currency, which has fallen sharply the last few weeks in the wake of the G7 intervention last month.

Asian stocks edge up; China, Singapore data cheer
SYDNEY, April 14 (Reuters) - Asian stocks reversed losses after Hong Kong media reported upbeat Chinese economic data a day ahead of the official release, and surprisingly strong growth figures from Singapore underscored investor confidence in the region. "We've had a fantastic run in the previous three weeks. We're easing back a bit now and that's probably the way we'll glide into Easter," said Austock Securities senior client adviser, Michael Heffernan.

20110415 0954 Global Commodities Related News.

Corn (Source: CME)
US corn futures end mixed, with nearby contracts continuing to succumb to speculative profit taking. However, new crop, deferred month contracts rally, as concerns about cool, wet conditions in the Midwest potentially delaying spring plantings, encouraged traders to add risk premium to prices, says Tim Hannagan, analyst with PFG Best. The corn crop must have strong yields to replenish depleted old crop stocks, and any delay to seedings threatens output potential. CBOT May corn down 0.2% at $7.54 1/4 a bushel, and December corn up 1.6% at $6.55 1/2.

Wheat (Source: CME)
The combination of sluggish export demand and the potential for needed rain to reach parched winter wheat crops in the plains pressured U.S. wheat futures. Forecasts for rains to hit some of the drier areas of the hard red winter wheat belt encouraged to traders to book some profits. The rains could improve crop ratings, analysts said. Lagging export demand and talk of Russia potentially reentering the world wheat market to export supplies earlier than expected added further pressure to keep buyers on the sidelines, said Jack Scoville analyst with Price Futures Group. CBOT May wheat was down 12 1/4c or 1.6% at $7.40 1/2 a bushel, May KCBT wheat was down 21c or 2.4% at $8.64.

Rice (Source: CME)
US rough rice futures ends higher, climbing on stronger demand and crop concerns. The rice market was presented with a pleasant surprise, larger-than-expected weekly export sales reported by the USDA. Dryness issues for rice crops in Texas provided additional support to offset general weakness in grain futures. CBOT May rice settled 4c higher at $13.66 1/2 a bushel.

U.S. wheat recovers from 2-week low; corn, soy steady
Chicago wheat futures rose around half a percent  as the market recovered from a two-week low on concerns over dry weather in Europe and Australia's wheat producing areas. "It seems like the weather is improving for the wheat crop in the U.S., but we are still watching dryness in Europe, China and Western Australia, so there is little bit of concern," said Adam Davis, a senior commodity analyst at Merricks Capital in Melbourne.

Tight U.S. corn supply through 2011/12-Informa
WASHINGTON, April 13 (Reuters) - The U.S. corn supply will remain tight through fall 2012 despite
a potentially record-setting crop this year due to unrelenting food, feed and fuel demand, said
consulting company Informa on Wednesday.

Manila to award some rice imports rights, re-tender others-NFA
MANILA, April 13 (Reuters) - The Philippines' National Food Authority (NFA) said it will award more
rice import rights to private traders this week, taking cumulative allocations to nearly 500,000
tonnes out of a planned total of 600,000 tonnes for 2011.The revision, linked to the fast pace of exports in France, was 150,000 tonnes higher than
FranceAgriMer's March estimate and nearly 30 percent above the volume exported in the 2009/2010 season.The agency will seek new bids for the remainder of the rights next month, NFA administrator
Angelito Banayo told local reporters on Tuesday. The comments were not released until Wednesday.

India's key measures, decisions on wheat
NEW DELHI, April 14 (Reuters) - Indian farmers are expected to harvest a record wheat crop in
2011, higher than last year's 80.8 million tonnes, helped by good weather conditions and raising the
chance of exports.
The world's second-biggest wheat producer and consumer banned exports in 2007 to bolster
domestic supplies as bad weather hit crops. 

India cautious over wheat exports as inflation bites
SINGAPORE/NEW DELHI, April 14 (Reuters)- Any government faced with huge grain stockpiles, strengthening global prices and prospects of record output would be tempted to jump into export markets, but India's policy makers will think twice before opening the floodgates for exports of wheat.
Wheat shipments from the world's second largest producer could partly fill a gap in global supplies caused by a shortfall in production in key exporters and calm the international market , which has soared almost 60 percent since April last year.
But India's federal government is expected to tread cautiously and, in the best-case scenario, allow exports of no more than 2 to 3 million tonnes -- just a fraction of the country's estimated 2011 production of around 84 million -- because of surging domestic food prices and exploding demand.

Ethanol Producers Face Uncertain Corn Supply (Source: CME)
Ethanol producers could be sweating out a late-summer squeeze on corn supplies, as stockpiles dwindle and farmers race to bring new supplies into the market. While the nation's supply of corn is not going to run out completely, the government is projecting ending stocks--or the amount of corn in storage as of Aug. 31--will be at their lowest level since 1996, the only other comparable year in recent history. Such tight supplies could leave producers at the mercy of their geographic proximity to corn and the pace of the fall harvest. Some producers may have to shut down temporarily. "The indications are there will be pockets of shortages," said Neill McKinstray, vice president of ethanol for The Andersons Inc. "It's certainly a real possibility." The supply squeeze would pose a challenge for the Toledo, Ohio, company, which has plants in Ohio, Michigan and Indiana, McKinstray said.
But its proximity to the nation's corn belt, existing grain merchandising business and above-average storage capacity should help keep the plants running, he said. Plants further away from the corn belt, particularly those on the coasts, face a greater danger of shutting down temporarily for a lack of corn, McKinstray said. Some ethanol plants shut down temporarily in 1996 as corn became scarce, said Jason Ward, analyst with Northstar Commodity in Minneapolis. He is advising clients, including livestock producers, to secure actual corn for the late summer time period, rather than just forward contracts. Come August, dwindling supplies could drive spot prices sharply higher, as buyers increase their bids to secure corn from grain elevators. Rather than being unable to find corn, a more likely scenario is that some ethanol producers walk away from high prices, said Todd Becker, chief executive of Green Plains Renewable Energy Inc., the nation's fourth-largest ethanol producer.
"The question will be, 'Do you want it at that price?'" Becker said. Ethanol producers have had little trouble securing corn through July, but forward-purchasing beyond that has been difficult. Based on current futures prices, farmers have a strong incentive to unload their corn sooner rather than later, as the July contract is roughly 60 cents per bushel, or 8%, more expensive than the September contract. That incentive for farmers to unload their remaining grain is the biggest danger for ethanol producers planning for August, Ward said. Ethanol plants generally have about two weeks of storage capacity, so some plants that are trying to buy corn now from farmers and paying them a premium to store it until later in the summer, analysts said. Working in ethanol producers' favor is the fact September corn prices are about 60 cents higher than December futures.
As a result, some farmers will plant fast-maturing seed varieties that could allow them to capitalize on the higher prices, before the new harvest floods the pipeline, said Chad Hart, agricultural economist for Iowa State University. The severity of the supply shortfall could also be limited if livestock producers start feeding their animals wheat instead of corn due to corn's high price, analysts said. Becker said that a "random producer here and there" may not be able to find corn, but that the problem will be short-lived. "If a problem develops it won't be a six-month problem, it will be a two-to three-week problem," Becker said. "That's not going to push anyone to the brink." Traders are already watching U.S. corn belt weather closely for signs of when planting will start. A slow start to planting season will mean a later harvest, which could exacerbate the supply squeeze, Ward said.

IKAR: Russia Grain Exports May Hit 9M Tons In 2011-12 (Source: CME)
Russia could export up to 9 million metric tons of grain in 2011-12 if the harvest hits 84 million tons, the director of the Institute for Agricultural Market Studies said, but he warned that growing problems in the key Volga region could hurt output. The Kremlin banned grain exports last summer after the worst drought in more than a century slashed the harvest by around a third to 63 million tons. But speculation has been building in the industry that the government may soon lift the embargo due to falling internal prices and hopes for a bumper 90-million-ton harvest later this year. IKAR's Dmitry Ryklo said although officials are concerned over how to finance the storage and insurance of the upcoming crop and bodies have been lobbying to lift the ban, no consensus has been reached.

AgResource Sees Record World Grain Demand In 2011/12 (Source: CME)
World grain markets are expected to remain bullish in the upcoming season as even a near-record world crop will be unable to meet a new high in demand, the president of U.S. grains analyst AgResource said. Daniel Basse said while world grain demand is expected to rise by 44 million metric tons to 1.795 billion tons in 2011-12 but even with good weather world production is expected to fall 3 million tons short of the world record in 2009. Global planting area will need to increase by 11.6 million hectares to 4987.4 million hectares in 2011 in order to boost production enough to build up stocks, he said. "A very bullish landscape still exists" in grain markets, Basse told the Black Sea grain conference. "We need another 52 million metric tons this year to build stocks and keep up with consumption." International grain prices have soared since last summer, reaching record highs in corn markets this year, as a succession of weather problems in key producers have failed to dent growing global demand.
Global food prices also hit record highs in February, according to the United Nations' food body, as gains in other markets like fats and sugar have pushed up the cost of staples the world over. The World Bank estimates 44 million people have been pushed into poverty by the rises. Yet Basse noted that despite the rising cost of grains, meat consumption has not been dented as it has been in the past. "Slaughter rates have not gone up in line with higher grain prices," he said. "As grain prices have rallied we in the U.S. have seen dramatic increases in meat prices, creating an economic incentive to keep producing meat."

Cocoa rises after grind data; sugar firms
ICE cocoa futures rose after Europe's first-quarter grind, a measure of demand, rose 3.5 percent on the year-earlier period to 353,103 tonnes, at the higher end of analysts' and dealers' expectations. Raw sugar futures on ICE firmed in early trade, with upside potential limited by bigger-than-expected Thai output. ICE raw sugar futures closed on Wednesday at their lowest level in six months, weighed by expectations of large Brazilian and Thai supplies.

Colombia coffee exports soar 53 pct in March-fed
BOGOTA, April 13 (Reuters) - Colombia's coffee exports shot up 53 percent to 884,000 60-kg bags
in March versus the same month last year, a trade group said on Wednesday, as growers took
advantage of record high prices.
The coffee futures market has doubled in value in a sustained rally that began in June 2010, with
much of the latest push driven by a scramble for high-quality beans. Coffee prices hit a 34-year
high last month.

Top India state set to miss sugar output target
LUCKNOW, India, April 13 (Reuters) - Sugar output from India's biggest cane growing state is likely
to be lower than a targeted 6 million tonnes this season due to crop shortage, an official said,
possibly jeopardising further exports from the world's number 2 producer of the sweetner.
A senior official of Uttar Pradesh state, which accounts for about a quarter of total sugar output, told

Brazil sugar exports face red tape at ports
SAO PAULO, April 13 (Reuters) - Brazil's ports again will look out on long lines of anchored vessels waiting to load sugar, with plans to expand loading capacity snagged on red tape, a top industry official said.
Last year, a log jam of over 100 unloaded ships waiting at Brazilian ports helped to boost sugar prices to 30-year highs,  since the global market faced a supply deficit of the sweetener after several producing countries saw their output reduced by bad weather.
Brazil's exports in 2011 are expected to be higher than last year's record 28 million tonnes, but with its ports operating near near capacity, tightness in the sugar market could be magnified if serious bottlenecks reoccur.

Manila can export extra 60,000 T sugar to U.S.
MANILA, April 13 (Reuters) - The Philippines could export an additional 60,000 tonnes of sugar to the United States this year on top of the approved export quota of 136,201 tonnes given ample local supply, the local industry regulator's chief said on Wednesday.
On Monday, the U.S. Agriculture Department said the Philippines would be among the countries able to export more to the United States to counter a shortage caused by a hard freeze which hit the cane crop in Florida.
"We are still waiting for the official notice from the U.S. government but, yes, we can do that if there is a request for more Philippine sugar," Regina Bautista-Martin, chief of the Sugar Regulatory Administration (SRA), told Reuters.

Australia seen headed for another bumper cotton crop next year
SYDNEY, April 14 (Reuters) - Australia could harvest another bumper cotton crop next year,
possibly matching this year's estimated harvest of a record 4 million bales, an industry official said
on Thursday, noting that growing conditions remained ideal.
Australia, one of the world's major cotton exporters, is hoping to cash in on high global cotton prices
driven by strong demand from China and India, which together consume around 60 percent of
world output.

Rubber growers talk of intervention as price gyrates
BANGKOK/SINGAPORE, April 13 (Reuters) - A battle of nerves is shaping between rubber growers and speculators as uncertain demand due to the Japan earthquake and Middle East unrest offsets tight supply in a volatile market, but top producers stand ready to intervene if prices plunge.
Thailand, Indonesia and Malaysia threatened to take action to prop up prices in March, when tyre grades plunged about a third from a record above $6 a kg after Japan's devastating earthquake amplified fears about a weaker global economy, triggering selling on the Tokyo Commodity Exchange (TOCOM).
Prices later bounced on hopes for brief disruptions to Japan's auto production, but any drastic moves by producers, such as export cuts and stockpiling to avoid a repeat of the brutal correction, could slash the income of millions of farmers in Asia and feed unrest in places like southern Thailand.

China's tough talk on aluminium won't slow smelter growth
SINGAPORE/HONG KONG, April 14 (Reuters) - China is once more ratcheting up pressure on its aluminium industry to limit growth, but the measures are likely to fail without support from regional governments hungry for projects to generate jobs and boost economic growth.
The world's top aluminium producer and consumer has ordered a halt to all planned smelter projects and is considering cutting export rebates on some aluminium products as it tries to rein in the burgeoning energy-hungry industry.

Gold Leaps to Record on Inflation, Dollar; Silver Tops $42 at 31-Year Peak (Source: Bloomberg)
Gold climbed to a record as concern about rising inflation and an extended decline in the dollar bolstered the allure of precious metals as a store of value. Silver reached a 31-year peak.

PRECIOUS-Gold climbs as U.S. jobs data knocks dollar
LONDON, April 14 (Reuters) - Gold prices climbed back above $1,460 an ounce on Thursday and silver also rose after U.S. data showin

Chinese investors mull offshore yuan for bonded copper resale -trade
HONG KONG, April 14 (Reuters) - Investors in China who import copper to fund domestic projects are looking to use an offshore yuan scheme after authorities tightened rules on repatriating foreign currency from re-exports in April, trading and banking sources said on Thursday.
If the strategy succeeds, investors may not need to bring thousands of tonnes of bonded copper into Shanghai to resell it in the domestic market, an outcome that could boost supply and weigh on prices in the world's top consumer. 

Zinc market near 200,000 T surplus in 2011 -ILZSG
LONDON, April 14 (Reuters) - Global refined zinc production will exceed demand by almost 200,000 tonnes this year, the fifth year running of over-supply, the Lisbon-based International Lead and Zinc Study Group (ILZSG) said on Thursday.
"The group expects that in 2011, the global refined zinc market will remain in surplus for the fifth successive year. The extent of the over-supply is forecast at just under 200,000 tonnes," ILZSG said in a statement.

Spot uranium seen averaging at $65/lb in 2011
LONDON, April 13 (Reuters) - Spot uranium prices look set to average $65 a pound this year, a Reuters survey showed, with estimates lower after Japan's nuclear disaster cast doubt over the future of nuclear power and offset some supply concerns.
Spot uranium , last around $59, has fallen some 10 percent since early March as the nuclear sector has come under scrutiny after Japan's earthquake and tsunami crippled a nuclear plant and caused radiation leakage.

METALS-Copper softer on China inflation worries
LONDON, April 14 (Reuters) - Copper fell to its lowest in more than a week on Thursday, as reports of quickening inflation in top consumer China signalled more monetary tightening that investors worried could hit demand for industrial metals.
Three-month copper  on the London Metal Exchange (LME) was at $9,410 a tonne at 1312 GMT from $9,515 at the close on Wednesday.

Oil Gains a Third Day After Reports Saudi Arabia Cut Production This Month (Source: Bloomberg)
Oil gained for a third day in New York after a Saudi Arabia-based economist said the holder of the world’s biggest crude reserves cut production this month. Futures gained as much as 0.6 percent today after John Sfakianakis, chief economist at Riyadh-based Banque Saudi Fransi, said the desert kingdom reduced output by 300,000 barrels a day. Barclays Plc said Saudi Arabia may be reducing production of its lighter oil blends introduced in response to the slump from Libya.

20110415 0952 Soy Oil & Palm Oil Related News.

Soy Oil chart reading : side way range bound.

ITS CPO export down 20.6% to 418,134 tonnes for the period of 1~15 Apr 2011.
SGS CPO export down 13.1% to 452,038 tonnes for the period of 1~15 Apr 2011.

Soybeans (Source: CME)
US soybean futures stumbled, reflecting slowing export demand and competition from Brazilian production. The threat of further cancellations of US soy sales to China due to poor crush margins there and cheaper Brazilian prices pressured futures, says Tim Hannagan at PFG Best. An aggressive harvest of a projected record Brazilian soybean crop weighed on prices as well as fresh South American supplies take away the urgency to curb US usage. Meanwhile, futures garnered pressure from weather conditions as any threat to corn plantings due to wet, cool conditions increases the odds of increased soybean seedings, Hannagan says. CBOT May soy settled down 2 1/2c at $13.31/bushel.

Soybean Meal/Oil (Source: CME)
Soy product futures end mostly higher, finding stability after tumbling on a broad based sell-off Tuesday. Soyoil finished higher, buoyed by solid global vegoil demand and a recovery in crude oil futures, analysts said. Soymeal finished near unchanged, unable to hold initial gains on poor domestic demand, analyst said. CBOT May soyoil ended up 0.12c or 0.2% at 57.36 cent a pound, and May soymeal finished down $0.20 or 0.06% at $342.20 per short ton.

China Soybean Futures Fall On Weak Demand (Source: CME)
Soybean futures on the Dalian Commodity Exchange notched losses for the third consecutive session, brushing aside a rebound in U.S. counterparts overnight, reflecting weak demand in China. The benchmark January soybean contract settled 0.6% lower at CNY4,562 a metric ton, running counter to the May soybean contract on the Chicago Board of Trade closing up 0.3% at $13.3350 a bushel overnight. Demand from China, the world's largest soybean importer, is in focus as speculation on weather conditions hasn't started yet, said Xu Wenjie, an analyst at Zheshang Futures Co. "It's clear that China's import demand is very weak now," he said. "China's imports in the second half of the marketing year ending Sept. 30 will certainly fall from a year earlier."
Domestic importers have canceled three cargoes of soybeans due to poor margins, and are negotiating with suppliers on either the cancellation or postponement of at least 10 other cargoes, he said, without elaborating. Further damping market sentiment is the government's planned sale of about 3 million tons of soybeans to major crushers at CNY3,500/ton, about CNY300 lower than market soybean prices, in exchange for an agreement to keep edible oil prices stable.

Argentina Exchange Raises Soy Estimate To 49.2M Tons (Source: CME)
The Buenos Aires Cereals Exchange increased its forecast for 2009-10 soybean production to 49.2 million metric tons, up from 48.8 million tons forecast last week. Despite early drought, steady showers in recent months allowed much of the crop to recover and yield prospects have steadily improved. To date, 43% of the soybean crop has been harvested. Argentina is the world's third largest soybean exporter and leads soymeal and soyoil exports. The exchange also increased its corn forecast to 20 million tons from 19.5 million tons, due to higher-than-expected yields in the northern fields. So far, 35% of the corn crop has been harvested.
Argentina is the world's second largest corn exporter. The sunflower seed forecast was held at 3.4 million tons. The harvest was wrapped up this week, according to the exchange.

Palm oil losses deepen ahead of export data
JAKARTA, April 14 (Reuters) - Malaysian palm oil was on track for a third straight day of declines as uncertainty in comparative oil prices such as soybean and crude weighed and investors eyed export data due on Friday. "People are looking for new leads," said one trader on market sentiment. "For now, the direction is from crude oil, and Dalian, which is also uncertain at this point ... these decide the factors for palm oil. The trading range is not very wide."

Paraguay sees record 8.4 mln T soy harvest-official
ASUNCION, April 13 (Reuters) - Paraguay's 2010/11 soy harvest was projected at a record 8.4
million tonnes, 1 million tonnes above the start-of-season estimate, the Agriculture Ministry said on
The forecasted harvest would put the small South American country's soy production 12.3 percent
above last season's record output.

U.S. soy crush seen rising, but margins pressed
CHICAGO, April 13 (Reuters) - The U.S. soybean crush is expected to make its first month-on-month increase in March in five months on improved exports, but margins soon will come under renewed pressure from bumper South American crops.
The crush margin -- profitability measured by the cost of soybeans versus prices for soymeal and soyoil -- is already at the lowest since at least March 2006.
The National Oilseed Processors Association's monthly crush data on Thursday is expected to show the March crush at 133.19 million bushels, up from February's 124.88 million bushels, but 11 percent below 149.63 million a year earlier.
Trade estimates for the March crush data range from 127.75 million to 137.5 million bushels.