20120817 1121 Global Markets & Commodities Related.

GLOBAL MARKETS-Shares firm on Merkel remarks
TOKYO, Aug 17 (Reuters) - Shares firmed on Friday as German Chancellor Angela Merkel voiced support for the European Central Bank's efforts to contain the euro zone's debt crisis, soothing investor nerves and prompting them to scale back safety bids.
Merkel said ECB President Mario Draghi's declarations last month to do whatever it takes to save the euro and raising the prospect of buying the bonds of stricken Spain and Italy were "completely in line" with the approach taken by European leaders.

COMMODITIES-Most markets stronger on positive U.S. data
NEW YORK, Aug 15 (Reuters) - Most commodity markets ended stronger on Wednesday backed by some positive U.S. economic data and as investors hoped that the European Central Bank would provide economic stimulus to debt-burdened Italy and Spain.
"Sentiment is still pretty negative towards the growth outlook and markets now are waiting to see whether we do get some sort of policy response and if so, what form that takes and what the implications could be for metals demand," said Gayle Berry, analyst at Barclays Capital.

OIL-Oil at 3-mth peak on stimulus hope, Middle East worry
NEW YORK, Aug 16 (Reuters) - Oil prices hit a three-month peak on Thursday as comments from German Chancellor Angela Merkel that appeared to back the European Central Bank's efforts to combat the euro zone crisis lifted equities, pressured the dollar and fed hopes for more economic stimulus.
"Oil got a pop on the Merkel comments, as did stocks, and the dollar is weaker and U.S. crude got some follow-through buying after pushing above yesterday's high," said Addison Armstrong, senior director of market research at Tradition Energy in Stamford, Connecticut.

White House studying potential oil reserve release
WASHINGTON, Aug 16 (Reuters) - The White House is "dusting off old plans" for a potential release of oil reserves to dampen rising gasoline prices and prevent high energy costs from undermining the success of Iran sanctions, a source with knowledge of the situation said on Thursday.
U.S. officials will monitor market conditions over the coming weeks, watching whether gasoline prices fall after the Sept. 3 Labor Day holiday, as they historically do, the source said.

NATURAL GAS-US natgas futures end down for 2nd day on mild forecast
NEW YORK, Aug 16 (Reuters) - Front-month U.S. natural gas futures ended lower on Thursday for the second straight day following wild price swings, after a government report showed a smaller-than-expected weekly inventory build.
"I think a number of factors were at play in taking the zestiness out of the bulls," Gelber & Associates analyst Pax Saunders said.

EURO COAL-Prices steady, market watches Colombia strikes
LONDON, Aug 16 (Reuters) - Physical European prompt coal prices were unchanged at around $93-$94 a tonne for a second day on Thursday as the market waited to see when Colombian shipments would resume and whether that would trigger a bout of selling and a further price fall.
"Although the union is challenging the legality of the vote and will probably appeal the court decision, any reversal would likely be some months down the line, with the tighter prompt engendered by these strikes still likely to fade," Credit Suisse said in a research note on Thursday.

Emerging countries will not match China metals appetite
LONDON, Aug 16 (Reuters) - The next group of emerging countries to urbanise will probably not sustain the voracious demand for metals demonstrated by China over the last decade, but could match its thirst for oil, commodities experts say.
China's huge appetite for metals over the last decade to build skyscrapers and infrastructure has sent metals prices surging, including copper over 600 percent, and sparked a wave of fund investment in the sector.