Tuesday, May 15, 2012

20120515 1119 Global Market & Commodities Related News.

GLOBAL MARKETS-Shares slide as Greece risks dominate
TOKYO, May 15 (Reuters) - Shares fell on Tuesday as investors liquidated riskier assets and sought refuge from the political turmoil fuelling fears of Greece's exit from the euro and threatening to ruin any progress made so far to solve the euro zone debt crisis.
"Risk has primarily traded with European headlines, which we suspect will continue to put a damper on prospects until a more sustainable solution can be found to Greece's political imbroglio," said Morgan Stanley in a research note.

COMMODITIES-Mounting Greece fears slam CRB to 19-month low
NEW YORK, May 14 (Reuters) - The selloff in commodities deepened o n Monday, with U.S. crude oil sinking below $95 and a benchmark index for resource markets touching a 19-month bottom, as Greece's political woes exacerbated fears that trouble in Europe would drag down demand for raw materials.
"Risk-on assets in general are falling due to the fact that investors are starting to understand the reality of the fact that the global economy is going to slow, not grow, in the near future," said Adam Sarhan, chief executive at New York's Sarhan Capital.  

Oil bulls face severe test of faith (and pockets)
--John Kemp is a Reuters market analyst. The views expressed are his own--
LONDON, May 14 (Reuters) - The collapse in oil prices since the start of May is posing a severe test for oil market bulls who must meet big margin calls to maintain their positions -- or close them out and accept their losses.
On February 22, the highly respected research team at Goldman Sachs recommended a long position in September 2012 WTI futures , then valued at $107.55 but now down more than $12 per barrel to a low of just $94.70 in trading earlier on Monday.

OIL -Oil falls as Greece, China feed economic worry
NEW YORK, May 14 (Reuters) - Oil prices fell on Monday as Greece's inability to form a coalition government and concerns about a slowing Chinese economy fed worries about the outlook for petroleum demand.
"The situation in Greece, hitting the euro, comes after last week's China data showing growth is slowing and the trading losses by JPMorgan have hurt confidence," said Phil Flynn, analyst at PFGBest Research in Chicago.

NATURAL GAS-US natgas futures end down, 1st loss in 6 sessions
NEW YORK, May 14 (Reuters) - U.S. natural gas futures ended lower on Monday for the first time in six sessions, with prices sliding 3 percent on technical selling and some profit-taking as fairly mild Northeast and Midwest weather this week slowed overall demand.
"RSI and other technical indicators pointed at an overbought contract. No surprise today that there would be some easing," Gelber & Associates analyst Pax Saunders said in a report.

EURO COAL-Prices stable, S.African supply tight
LONDON, May 11 (Reuters) - European prompt physical coal prices were little changed on Friday with no fresh trades reported.
"The market in Europe is miserable, it is a disaster, there are very few niches in which we can do some small spot business," one European trader said.

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