20110421 1142 Global Market & Commodities Related News.

GLOBAL MARKETS: US dollar at 2-1/2-yr low, gold near record high
HONG KONG, April 21(Reuters) - The U.S. dollar slid to a 2-1/2-year low against a basket of major currencies and Asian stocks were poised to hit a 3-year high on Thursday, as investors scrambled to get in front of upward momentum in higher-yielding assets, particularly in emerging markets.
Commodity-related currencies rose with the Australian dollar hitting a post-float high against the U.S. dollar at $1.0740, as the hunt for yield intensified on prospects that U.S. interest rates would remain at a record low for a long time.

OIL: Oil rallies above $124 on U.S. draw, dollar
NEW YORK, April 20 (Reuters) - Brent oil jumped 2 percent to near $124 a barrel on Wednesday as U.S. crude oil inventories fell for the first time in seven weeks and the dollar weakened sharply, fueling investor appetite for riskier assets.
"The inventory trend has been very bullish for the last 10 weeks. And this is partly supporting the strength in crude prices outside geopolitics," said Mark Kellstrom, senior analyst at Strategic Energy Research and Capital in Summit, New Jersey.

Ecuador says OPEC sees $80-$90 oil as "adequate"
LAGO AGRIO, Ecuador, April 20 (Reuters) - OPEC sees oil prices between $80 to $90 as "adequate" and has no plans for an emergency meeting because the market is well supplied despite unrest in Libya, Ecuador's oil minister said on Wednesday.
Oil Minister Wilson Pastor told Reuters in an interview OPEC did not want the cost of oil "shooting up" because that could slow global economic growth, and he said he saw prices stabilizing in the next few months.

High oil price slows China, U.S. demand- IEA
SHANGHAI, April 20 (Reuters) - High oil prices have hurt demand in top consumers China and the United States, and OPEC needs to raise output around June to stem further price rises, the International Energy Agency's executive director said on Wednesday.
The IEA has already warned that high oil prices are threatening to slow global economic expansion, which would in turn erode the pace of growth in fuel demand.

NATURAL GAS: Natural gas ends up 1 pct, front hits 2-week high
NEW YORK, April 20 (Reuters) - U.S. natural gas futures ended higher on Wednesday, with cool Midwest weather and rising heat across the South driving the front month contract to a fresh two-week spot high despite milder forecasts for next week and concerns about high supplies.
"Some people are expecting a low (EIA build) number. Combined with weather and nuke outages, that's what's driving up the front end (of the futures curve)," a New York trader said.

EURO COAL: ARA prices rise by up to $1/T with oil
LONDON, April 20 (Reuters) - European delivered physical coal values rose by around $1.00 on Wednesday but the number of trades - several in a day - returned to normal after weeks of illiquidity as players rushed to close business before the Easter public holidays in much of Europe.
"Activity has almost returned to normal levels but the number of players was fairly small behind most of the trades," one trader said.

COMMODITIES: Gold, oil surge in broad rally as dollar falls
NEW YORK, April 20 (Reuters) - Gold hit another record high above $1,500 an ounce and oil rose to nearly $124 a barrel on Wednesday, as a weaker dollar fed risk appetite among investors.
"People are buying any kind of risk assets almost without discretion across the commodity complex, and gold and silver are part of them," said Mark Luschini, chief investment strategist of broker-dealer Janney Montgomery Scott, which manages $53 billion in client assets.