Wednesday, December 12, 2012
20121212 1726 Global Markets & Commodites Related News.
STOCKS: European stock futures pointed to a fractionally higher open, while Asian shares rose buoyed by strength in global equities markets, hopes of a deal from U.S. budget talks and expectations for more stimulus from the Federal Reserve when it ends its two-day policy meeting later in the day. U.S. stocks rose on Tuesday, led by gains in technology companies, helping the S&P 500 end at its highest level since Election Day. (Reuters)
FOREX-Dollar rises to 8-month high versus struggling yen
LONDON, Dec 12 (Reuters) - The U.S. dollar rose to its highest in eight months against the yen boosted by bets the Bank of Japan will take more aggressive easing steps after a likely victory of the Liberal Democratic Party in the country's election on Sunday.
The dollar rose 0.4 percent on the day to 82.895 yen, its highest level since early April on reported buying by macro funds. Traders cited option barriers at 83 yen.
Fed set to expand its monetary stimulus(Reuters)
The U.S. Federal Reserve is expected to announce a fresh round of bond buying on Wednesday as part of its efforts to support a fragile economic recovery threatened by political wrangling over the government’s budget.
China corn imports seen down 54 pct in 2012/13, consumption up(Reuters)
Chinese corn imports are expected fall by more than half next year due to high U.S. prices, and a rise in overall consumption will put domestic supplies under more pressure despite another record harvest, according to an official forecast on Wednesday.
GRAINS: Chicago wheat futures fell to their lowest since July, adding to a loss of more than 3 percent in the previous session, after the U.S. government said it sees hefty stockpiles of the grain amid slower demand. The most-traded March wheat contract on the CBOT surrendered modest early gains to hit a session low of $8.09-1/4 a bushel, the weakest since July 3. Corn and soybeans also edged lower in sympathy with wheat. Corn slipped 0.2 percent to $7.26-1/4 a bushel, near Tuesday's trough of $7.23-3/4, which was the lowest in nearly a month. Soybeans dropped 0.8 percent to $14.60 per bushel.(Reuters)
U.S. oil production rising at record rate- EIA(Reuters)
U.S. crude oil production is rising at the fastest rate in history, the U.S. Energy Information Administration said on Tuesday, as the shale oil revolution pushes output toward a 20-year high next year.
U.S. crude and oil products up sharply last week –API(Reuters)
U.S. crude and refined product stocks rose sharply last week, data from the American Petroleum Institute released on Tuesday showed, despite expectations crude inventories would decline.
OIL: Brent crude held above $108 a barrel as OPEC pumped less oil last month, although rising output from the United States and uncertainty about its budget for next year limited price gains. Brent crude rose 24 cents to $108.25 a barrel, up for a third day. U.S. crude for January edged up 2 cents to $85.81 after rising for the first time in six trading sessions on Tuesday.(Reuters)
China oil, iron ore imports point to demand revival
BEIJING, Dec 10 (Reuters) - China's imports of iron ore were the second highest on record in November, while crude oil imports were at their joint third highest daily rate, providing encouraging signals on demand for commodities in the world's second-largest economy.
The strength in consumption in Monday's customs data, came despite disappointing overall foreign trade data, showing overall imports were flat in November and exports rose just 2.9 percent.
Australia ups 2012/13 iron ore output forecast to 529 mln/t(Reuters)
Australia has revised up its forecast for iron ore output in fiscal 2013 to 529 million tonnes from 526 million previously, citing a rise in demand from China.
BASE METAS: London copper was steady near two-month highs on Wednesday as signs of a revival in China's economic growth and hopes of further easing by the United States underpinned prices, while wrangling over the U.S. "fiscal cliff" weighed on sentiment. Three-month copper on LME traded at $8,112.75 a tonne, up 0.12 percent from the previous session, when it logged small losses. The most-traded March copper contract on the SFE rose 0.14 percent to close at 57,980 yuan a tonne.(Reuters)
PRECIOUS METALS: Gold rose ahead of the outcome of a U.S. Federal Reserve policy meeting that investors hope will unveil more bond buying measures, supporting bullion's appeal as a hedge against inflation. Spot gold was little changed at $1,710.50 an ounce. U.S. gold inched up 0.28 percent to $1,713.1.(Reuters)
METALS-LME copper steady on China pickup, Fed stimulus hopes
SINGAPORE, Dec 12 (Reuters) - London copper was steady near two-month highs as signs of a revival in China's economic growth and hopes of further easing by the United States underpinned prices, while wrangling over the U.S. "fiscal cliff" weighed on sentiment.
"Copper is a China and U.S. story. Right now China is in recovery and the U.S. is in recovery. It's still a weak recovery but we don't think the price will drop, so any good news from the liquidity side or the macro side will help the price go higher," said Henry Liu, head of commodity research at Mirae Asset Securities in Hong Kong.
PRECIOUS-Gold inches up as investors await outcome of Fed meet
SINGAPORE, Dec 12 (Reuters) - Gold crawled higher ahead of the outcome of a U.S. Federal Reserve policy meeting that investors hope will unveil more bond buying measures, supporting bullion's appeal as a hedge against inflation.
"The market will trade in a tight range, as investors cautiously wait for the result of the Fed meeting," said Li Ning, an analyst at Shanghai CIFCO Futures.
Baltic Index down on depressed capesize rates
Dec 11 (Reuters) - The Baltic Exchange's main sea freight index, which tracks rates for ships carrying dry commodities, continued their losing streak on Tuesday on falling capesize rates.
The overall index, which reflects daily freight market prices for capesize, panamax, supramax and handysize dry bulk transport vessels, fell 3.95 percent to 900 points.
Posted by MW Chong at 5:26 PM