Thursday, February 16, 2012

20120216 1112 Global Market & Commodities Related News.

GLOBAL MARKETS-Markets fall, Greek bailout delay dampens mood
TOKYO, Feb 16 (Reuters) - Asian shares and the euro fell on Thursday, sharply reversing the previous day's rally as optimism was dashed by another delay in cementing a crucial bailout for stricken Greece, underscoring how far away Europe is from resolving its debt crisis.
"The news of a Greek delay may prompt profit-taking for overheated markets, but fundamentally speaking the talks are advancing towards a bailout," said Hiroichi Nishi, equity general manager at SMBC Nikko Securities.Nishi.  

Fed Divided on Need for More Stimulus Amid Signs Economy Gaining Strength (Bloomberg)
A few members of the Federal Open Market Committee meeting said the central bank may soon have to consider more asset purchases, while others said the economic outlook would have to deteriorate first. A few members said economic conditions “could warrant the initiation of additional securities purchases before long,” according to minutes of their Jan. 24-25 meeting released today in Washington. “Other members indicated that such policy action could become necessary if the economy lost momentum or if inflation seemed likely to remain” below 2 percent in the medium run. The central bank said at its meeting last month that it plans to hold interest rates near zero at least through late 2014 to spur growth and reduce unemployment, extending a previous date of mid-2013. Fed Chairman Ben S. Bernanke has since repeated the pledge, which was made before a report this month showing that the jobless rate fell to a three-year low of 8.3 percent in January.

COMMODITIES-Brent ends at 8-month high; cocoa up 5 pct
NEW YORK, Feb 15 (Reuters) - Brent crude oil extended its run-up on Wednesday, closing at an  eight-month high on escalating Middle East tensions, while copper fell on possible delays to Greece's bailout package.
"The oil markets are doing a balancing act between what's happening in Iran and the euro zone, where the Greek bailout deal may still fall apart," said Chris Dillman, analyst at Tradition Energy in Stamford, Connecticut.

Brent ends at 8-month high on supply risks
NEW YORK, Feb 15 (Reuters) - Brent oil settled at an eight-month high on Wednesday as fears of supply disruptions from Iran and other producers in the Middle East and Africa outweighed worries about the global economy.
"The oil markets are doing a balancing act between what's happening in Iran and the euro zone, where the Greek bailout deal may still fall apart," said Chris Dillman, analyst at Tradition Energy in Stamford, Connecticut.

US natgas futures end lower ahead of stocks data
NEW YORK, Feb 15 (Reuters) - U.S. natural gas futures ended sharply lower on Wednesday, fully erasing yesterday's gains amid still-bearish weather forecasts and expectations for another light weekly inventory draw on Thursday.
"Today is a give-back day riding on basically the same fundamentals. We're bearish going into tomorrow's (EIA) report as (it is) likely the biggest surplus expansion of the season," Gelber & Associates analyst Pax Saunders said in a report.

Euro Coal-Prices creep up 50c with power, gas
LONDON, Feb 15 (Reuters) - Utilities and traders continued to offer a variety of coal origins for prompt delivery into Europe, but coal prices moved up by 25-50 cents on Wednesday in line with rises in oil, power and gas.
"Power and gas rose, oil hit a six-month high so coal followed but only by a matter of cents, there's still a lot of coal around," one European trader said.

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