Friday, April 13, 2012

20120413 1110 Global Market & Commodities Related News.

As oil runs hotter, stocks could get burned
NEW YORK, April 12 (Reuters) - A $22 rise in the price of oil could be the difference between steady gains for U.S. stocks and danger signs for the market.
Rising U.S. oil prices, more often than not, are a positive for the stock market - but not always. A Reuters survey of 20 equity strategists over the last two weeks puts $125 a barrel  as the point where warnings start to flash for stocks. Currently, oil trades at about $103 a barrel.  

GLOBAL MARKETS-Shares up on Italy debt sale, shrug off N.Korea
TOKYO, April 13 (Reuters) - Asian shares rose on Friday on better-than-expected demand for Italian sovereign debt, shrugging off a rocket launch by North Korea before the market open that South Korean officials said had failed.
"The launch itself has very limited impact to broad financial markets," said Yuji Saito, director of the foreign exchange division at Credit Agricole Bank in Tokyo.

COMMODITIES-China growth hopes lift every market on CRB
NEW YORK, April 12 (Reuters) - All 19 commodities in a major index posted gains o n T hursday, as expectations of strong first-quarter growth data for China boosted prices of raw materials that depend largely on consumption by the world's No. 2 economy.
"Today's gains in crude stem from the strong gains in equities and the weakening of the dollar that raised investor appetite for oil and other commodities," said Chris Dillaman, analyst at Tradition Energy in Stamford, Connecticut.

OIL-Crude rises as China GDP talk lifts markets
NEW YORK, April 12 (Reuters) - Oil rose for a second straight day on Thursday as rumours that data will show strong growth in China's GDP boosted investor appetite in riskier assets across several markets.  
"Today's gains in crude stem from the strong gains in equities and the weakening of the dollar that raised investor appetite for oil and other commodities," said Chris Dillaman, analyst at Tradition Energy in Stamford, Connecticut.  

Oil market breaks two-year cycle of tightening supplies-IEA
LONDON, April 12 (Reuters) - The oil market has broken a two-year cycle of tightening supply conditions, the International Energy Agency said on Thursday, as demand growth weakens and top exporter Saudi Arabia increases output.
The agency, which advises industrialised nations on their energy policies, said increased supply and slowing demand growth might already point to a significant rise in global oil stocks. Stubbornly high oil prices could be expected to ease when markets woke up to the shift in trend, it added.

NATURAL GAS-US natgas futures end down despite light storage build
NEW YORK, April 12 (Reuters) - U.S. natural gas futures ended down slightly on Thursday, with the front-month contract hitting its fourth straight 10-year low despite a brief rally after a government report showed a weekly inventory build well below market expectations.
"Natural gas remains in a long term downtrend and nothing has changed to suggest this trend is on the cusp of changing. The only action that will make the trend change quickly is a significant cut in production," Energy Management Institute's Dominick Chirichella said in a report.

EURO COAL-Prices creep up, more U.S. coal offered
LONDON, April 12 (Reuters) - European physical coal prices rose by around 25 U.S. cents to $1.00 a tonne on Thursday in line with oil's gains on a weaker dollar but slightly higher prices drew out more offers of prompt U.S. cargoes, traders and utilities said.
"Bids and offers were 40-60 cents apart but nobody was prepared to move so little traded but prices have moved slightly higher and there are more U.S. offers," one trader said.

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