Commodities

IEA Cuts Oil Demand Forecast for 2011, 2012

twocents@thestreet.com (Joseph Woelfel) — Tue, 13 Sep 2011 10:04 GMT

NEW YORK (TheStreet) -- The International Energy Agency revised lower its outlook for global oil demand for 2011 and 2012 because of reduced economic growth expectations.

The IEA on Tuesday trimmed its estimate for global oil demand in 2011 by 0.2 mb/d (million barrels a day) and by 0.4 mb/d for 2012.

The agency now expects global oil demand of 89.3 mb/d in 2011 and 90.7 mb/d in 2012. ...

Oil Prices Fall as Rebels Storm Tripoli

twocents@thestreet.com (The Associated Press) — Mon, 22 Aug 2011 08:20 GMT

SINGAPORE -- Brent crude fell to near $105 a barrel Monday as Libyan rebels captured most of the country's capital, boosting hopes the OPEC nation's oil exports could resume soon.

In London, Brent crude for October delivery was down $3.22 per barrel to $105.40 on the ICE Futures exchange.

Benchmark oil for September delivery was down 25 cents to $82.01 a barrel at late afternoon Singapore time in electronic trading on the New York Mercantile Exchange. Crude fell 12 cents to settle at $82.26 on Friday. ...

Gold Rallies, Sits Firmly Above 1,700/50 Levels

twocents@thestreet.com (Mohammed Isah) — Thu, 11 Aug 2011 12:35 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (fxtechstrategy.com) -- With Gold breaking above the 1,700/50 level, its psycho levels and maintaining its bullish long term upside momentum, further upside risk is now expected. A decisive break and hold above the 1,800 level now being tested will call for a run at the 1,850 level and then the 1,900 level, all representing its psycho levels. Both its daily and weekly RSI are bullish and pointing higher supporting this view. ...

Gold Trends to $1,700

twocents@thestreet.com (Mohammed Isah) — Wed, 03 Aug 2011 17:34 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (TheStreet) -- With a strong rally pushing gold through the 1,600/50 levels on Tuesday and a follow-through seen in early trading today, further strength now eyes the 1,700 level, its psychological level.

A violation of that level will allow for a move higher towards the 1,750 level and then the 1,800 level. Its weekly and daily RSI are bullish and pointing higher supporting this view. Alternatively, on any pullback, gold will aim at the 1,632.60 level, its July 29, 2011 high. ...

Bullish, Bearish Gold Scenarios for Default

twocents@thestreet.com (Peter Schiff) — Fri, 29 Jul 2011 16:54 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (TheStreet) -- Perhaps the debt ceiling should be renamed the "national debt target," for it seems those in Washington are always trying to reach it. One could say it's their only reliable, time-tested achievement. And without fail, upon reaching their national debt target, they promptly extend it further in order to discover how quickly it can once again be attained!

While I have little doubt that the ceiling will be raised, my readers have been curious as to the implications for gold in each of the debt and "default" scenarios possible after August 2. This month, I'll outline how each outcome could affect the price of gold and silver. ...

Pivotal Times for West Texas Intermediate

twocents@thestreet.com (Marco Hague) — Thu, 07 Jul 2011 19:40 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (The LFB-Forex) -- The last West Texas Intermediate (WTI) (94.75) 4-hour chart signal was generated Jun 29 11 with a break above 96.00 that targeted 98.00, which did not trigger until July 5, 2011. A near-term signal was generated on July 1 2011, also with a break higher from 96.00 that targeted 96.50 and 97.50.

WTI is trading in the lower half of a trading channel created in May and June 2011 that has 104.50 as upside resistance and 89.50 as downside support. The 95.50 price point is the technical area that has drawn in the most momentum over the last two months, and has created volatility again this week. ...

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Crude Oil in Corrective Recovery

twocents@thestreet.com (Mohammed Isah) — Mon, 04 Jul 2011 15:06 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (fxtechstrategy.com) -- We expect crude oil to continue its corrective recovery in the immediate future, but the commodity's short-term weakness that was triggered from the 114.82 level in May remains dominant.

This suggests that once crude oil ends its corrective recovery, it could turn back toward 89.60, its June 27 low. A breach of that level would call for a move lower, toward 83.84, the Feb. 15 low, and then 80.28, the Nov. 23, 2010 low. ...

Dip Could Signal Buy for Gold, Silver

twocents@thestreet.com (Marco Hague) — Tue, 14 Jun 2011 15:59 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (TheLFB-Forex) -- There are very few news wire headlines to impact gold (1520) and silver (34.60) bullion trade. The precious metal markets continue to trade in tight ranges, with the majority of any 24-hour price movement being contained in one or two 30-minute periods of trade.

Today is not the day to be looking for gold and silver bullion trades. Outlook: Gold and silver trade is oversold in the near-term, with a neutral mid-term momentum read. The four-hour trends are flattening out, which sets up a sell-the-test-of-resistance play from the next upside move toward 1550 on gold and 37.50 on silver. The buy-the-dip play at support around 1505 and 34.00 is now going to be closely monitored. The last 12 months of gold and silver trade have shown a strong tendency to find buyers at support. ...

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Gold Holds On to Long-Term Uptrend

twocents@thestreet.com (Mohammed Isah) — Mon, 13 Jun 2011 12:34 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (FXTechstrategy.com) -- The outlook for gold continues to point higher despite a turn back lower off the 1,553.59 level to close lower the past week. On a return above that level, the 1,576.20 level, its 2011 high will be targeted where a break will resume its long-term uptrend and open the door for more gains toward its psycho level at 1,600 and then the 1,650.00 level.

On the downside, if gold follows through lower on the back of its past week declines, the 1.526.26 level, its May 11, 2011 high will be aimed at ahead of the 1,470.00 level and then the 1,462.15 level, its May 5, 2011 low. Further down, its .618. Fib Ret (1,380.85- 1,576.20 rally) at 1,455.00 comes in as the next downside target. All in all, gold remains biased to the upside in the long term though facing bear threats....

Support Holds on West Texas Intermediate

twocents@thestreet.com (Marco Hague) — Mon, 06 Jun 2011 20:40 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (TheLFB-Forex) -- There are very few news wire headlines that are able to impact the current sentiment towards crude oil valuations. Price action continues the choppy and overlapping trading pattern that has found support, and is unable to break resistance, on West Texas Intermediate (WTI) trade. Outlook: The potential for new trade signals to form on Tuesday is weak, after the reversal to support on WTI (98.95) at 100.00 that was highlighted recently followed through to hit 98.00 support. The 100-day Simple Moving Average area at 99.50 has offered intra-day resistance, but the oil markets look disjointed in trade this week. Exchange-Traded Fund: The outlook for USO (39.00), the exchange traded fund (ETF) that tracks oil momentum, is for consolidation above 37.50, and to struggle to easily break 41.00 resistance. The ETF is likely to continue to lag behind the main moves seen in WTI futures contract trade, as major oil price action is taking place while the U.S. session is closed.

Any existing USO positions should be closely monitored while recent price action is absorbed. USO may struggle to offer a fair reflection of the choppy 24-hour moves currently being seen in crude oil futures trade, and a weekly chart close may offer some clarity. Alternate 24-Hour Trade: Investors who do not want to wait for their regional cash market to open, or do not have 24-hour access to the market they have open positions in, are able to access the 24-hour currency market. There is potential to analyze and trade currencies in a high-volume market that is supported by the global inter-bank system....

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Traders Buy Dips in Gold and Silver

twocents@thestreet.com (Marco Hague) — Wed, 01 Jun 2011 14:12 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (TheLFB-Forex) -- News wires are very quiet in regard to gold (recently at $1,535) and silver (recently at $38.10) bullion issues.

The recent moves to manipulate margin requirements and impact speculative interest in bullion markets seem to have had little overall effect, as traders continue to buy the dips in gold and silver. ...

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Crude Oil Price Action Remains Choppy

twocents@thestreet.com (Marco Hague) — Wed, 01 Jun 2011 13:24 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (TheLFB-Forex) -- There is very little in the way of news headlines to directly impact West Texas Intermediate (recently at $102.05) crude oil prices before weekly U.S. oil inventories are released Thursday.

Price action continues to be choppy but unable to easily break resistance. ...

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Gold, Silver Could Break Higher This Week

twocents@thestreet.com (Marco Hague) — Mon, 30 May 2011 15:31 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.

NEW YORK (TheLFB-Forex) -- News wires are very quiet in regard to gold (recently at 1535) and silver (recently at 38.00).

The recent moves to change margin requirements and affect speculative interest in bullion markets seem to have had little overall effect, as market participants continue to buy dips in gold and silver. ...

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Soros, Burbank Selling Gold, Silver: Report

twocents@thestreet.com (Joseph Woelfel) — Wed, 04 May 2011 09:31 GMT

NEW YORK (TheStreet) -- George Soros's big hedge fund, a firm operated by investor John Burbank and some other leading firms have been selling gold and silver, The Wall Street Journal reported, leading to plunges the last two days in both metals.

On Tuesday, gold for June delivery closed down $16.70 to $1,540.40 an ounce at the Comex division of the New York Mercantile Exchange. Silver prices fell $3.49 to $42.58 an ounce and almost breached the $40 level in after-hours trading.

The Journal said the selling suggested the nine-month, sharp run-up in the precious metals could be entering more dangerous territory. ...

Oil Slips Below $113 After Bin Laden Killed

twocents@thestreet.com (The Associated Press) — Mon, 02 May 2011 08:11 GMT

SINGAPORE -- Oil prices eased off 2 year highs to below $113 a barrel Monday after President Barack Obama announced that al-Qaida leader Osama bin Laden had been killed.

Benchmark crude for June delivery was down $1.23 at $112.70 a barrel at midday Singapore time in electronic trading on the New York Mercantile Exchange.

The contract rose $1.07 to settle at $113.93 on Friday and reached $114.18 during in the session, the highest since September 2008. ...

$6 Gas? Could Happen if Dollar Keeps Sliding

twocents@thestreet.com (CNBC) — Thu, 21 Apr 2011 20:49 GMT

By Jeff Cox, CNBC.com Staff Writer NEW YORK (CNBC) -- A dollar plumbing three-year lows is hitting Americans squarely in the gas tank, and one economist thinks it could drive prices as high as $6 a gallon or more by summertime under the right conditions.

With the greenback coming under increased pressure from Federal Reserve policies and investor appetite for more risk, there seems little direction but up for commodity prices, in particular energy and metals.

Weakness in the U.S. currency feeds upward pressure on commodities, which are priced in dollars and thus come at a discount on the foreign markets. ...

Oil Slips to Near $108 Amid Libya Fighting

twocents@thestreet.com (The Associated Press) — Tue, 05 Apr 2011 08:30 GMT

SINGAPORE -- Oil prices fell to near $108 a barrel Tuesday in Asia as traders mulled whether political uprisings in the Middle East and signs of strong global crude demand justify extending a 30% rally since mid-February.

Benchmark crude for April delivery was down 35 cents at $108.12 a barrel at late afternoon Singapore time in electronic trading on the New York Mercantile Exchange. On Monday, the contract gained 53 cents to settle at $108.47, the highest since September 2008.

In London, Brent crude for April delivery was down 21 cents to $120.85 a barrel on the ICE Futures exchange. ...

Oil Nears $102 on Libya Supply Disruption

twocents@thestreet.com (The Associated Press) — Thu, 24 Feb 2011 09:09 GMT

SINGAPORE -- Oil prices zoomed to nearly $102 a barrel Thursday in Asia as chaos in Libya disrupted crude supplies from the OPEC nation, and traders worried instability could spread to oil-rich countries in the Middle East.

Benchmark crude for April delivery was up $3.55 at $101.65 a barrel at late afternoon Singapore time in electronic trading on the New York Mercantile Exchange. The contract, which has soared about 20% since last week, jumped $2.68 to settle at $98.10 on Wednesday.

In London, Brent crude for April delivery vaulted $5.74 to $116.99 a barrel on the ICE Futures exchange. ...

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Oil Tops $96 on Fears of Supply Disruptions

twocents@thestreet.com (The Associated Press) — Wed, 23 Feb 2011 13:43 GMT

Oil prices rose to fresh two-year highs around $96 a barrel Wednesday amid concerns that a violent power struggle in Libya could disrupt supplies, with experts warning the next weeks and months would prove highly volatile.

If the chaos spreads to other bigger energy producers in the region, such as Iran or Saudi Arabia, price fluctuations could became as sharp as those in the 1970s, when an OPEC embargo caused gasoline shortages in the U.S., analysts warned.

By early afternoon in Europe, benchmark crude for April delivery was up 74 cents at $96.16 a barrel -- the highest since October 2008 -- in electronic trading on the New York Mercantile Exchange. The contract jumped $5.71, or 6.4%, to settle at $95.42 on Tuesday. ...

Global Commodity Trade: Precious Metals, Oil

twocents@thestreet.com (Marco Hague) — Tue, 22 Feb 2011 15:30 GMT

The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage. The opinions expressed are those of the author and do not represent the views of TheStreet or its management.

NEW YORK (TheLFB-Forex.com) -- Global commodity trade has a very similar look and feel to that of 2011 equity moves, which have been very well supported as global precious metal markets drive gold and silver higher, backed by massive speculative interest coming into oil trade. These three markets have reflected the importance of diversification in a balanced portfolio, and have become incredibly important as stand-alone asset classes that will battle the manipulation being seen in U.S. dollar valuations....

Silver, Oil Dominate Commodity Momentum

twocents@thestreet.com (Marco Hague) — Tue, 01 Feb 2011 12:29 GMT

NEW YORK (THeLFB-Forex.com) -- Global commodity markets continue to be buoyed by regional news headlines and fears of lower supplies, and by the increase in commodity inflation caused by the Federal Reserve's quantitative easing programs. With regional weather and civil unrest continuing into February, it looks as though global commodity prices easily will hold any tests of support.

Market algorithms look set to buy the dips on hard and soft commodities if they drop down to test support on any given trading day.

Gold bullion trade continues its eight-day sideways hike, having tested 1,305 as a solid support area, and having formed a new buy signal with a close above 1330. If the sideways channel can break 1345 going long, the initial target will be 1355, the 20- and 100-day simple moving average areas. A subsequent break above 1360 draws in a test of 1380, which is the 50-day simple moving average area. ...

Crude Oil Risk Turns To Its 2011 High

twocents@thestreet.com (Mohammed Isah) — Sun, 30 Jan 2011 23:58 GMT

By Mohammed Isah of fxtechstrategy.com

NEW YORK (TheStreet) -- The risk of a follow through higher is now building up for crude as we enter a new week, as a reversal of its earlier losses for the week occurred on Friday.

Crude Oil closed flat the past week and an eventual return above the 93.00 level will restart its long term uptrend towards the 95.00 level and its big psychological level at 100.00. We may likely see a turn lower from that level on an initial test because of its psychological importance. ...

Air Products vs Airgas Trial Resumes

twocents@thestreet.com (Courtroom View Network) — Mon, 24 Jan 2011 16:18 GMT

GEORGETOWN, Delaware (courtroom view network) -- The upcoming Air Products vs Airgas trial could potentially change the balance of power between boards and shareholders, according to the Wall Street Journal, which called the case "one of the most significant decisions in a generation."

On Tuesday January 25, Chancellor William B. Chandler III of the Delaware Court of Chancery will consider whether to prohibit a corporation from using a poison pill to defend against a hostile takeover bid.

Industrial gas manufacturer Air Products , which had been pursuing a merger with rival Airgas since October 2009, made public its intention to buy Airgas when it sued Airgas for refusing to properly consider an Air Products offer to purchase Airgas for $60 per share, which represented a 38% premium above the market price. ...

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Wheat Prices Surge as Exports Jump

twocents@thestreet.com (The Associated Press) — Fri, 21 Jan 2011 21:03 GMT

The U.S. Agriculture Department said Friday that export sales of wheat totaled 1.05 million metric tons last week. It's the highest level since August, when Russia banned wheat exports after a drought devastated much of its crop.

The increase in export sales is causing speculation that more buyers will be interested in U.S. wheat because of uncertainty about the effect that floods may have on Australia's wheat crop.

The flooding crisis has cost Australia at least $2.5 billion in lost exports from the farming and mining industries. Farm produce, including fruit, vegetables, cotton and sorghum, will be cut by at least $500 million in the fiscal year ending June 30, according to the Australian Bureau of Agricultural and Resource Economics and Sciences. ...

Oil Prices Approach $92

twocents@thestreet.com (Joseph Woelfel) — Mon, 27 Dec 2010 08:38 GMT

NEW YORK (TheStreet) -- Crude oil rose close to $92 Monday, rising 20 cents to $91.88, despite China's central bank raising interest rates over the weekend.

On Thursday, benchmark oil for February rose $1.03 to settle at $91.51, the highest level since October 2008. Oil markets were closed Friday for the Christmas holiday.

China's rate rise, a move to stop rising inflation, could weaken demand for crude. ...

Gold Prices Hit $1,300 an Ounce

twocents@thestreet.com (Joseph Woelfel) — Fri, 24 Sep 2010 09:35 GMT

NEW YORK (TheStreet) -- Gold prices hit the closely watched level of $1,300 an ounce Friday.

Gold futures prices for December delivery on COMEX hit $1,300 an ounce intraday, but have fallen back slightly to trade at $1.299.40, up $3.10.

Gold prices on Thursday rose $4.20 to settle at $1,296.30. ...

4 Forces Behind Gold Prices

twocents@thestreet.com (Guest Contributor) — Fri, 17 Sep 2010 16:15 GMT

By James DiGeorgia ...

Base Metals Seen Consolidating

twocents@thestreet.com (Karvy Global) — Wed, 18 Aug 2010 11:57 GMT

NEW YORK (TheStreet) -- After rising Tuesday, base metals started off strong on Wednesday, but with the dollar index strengthening and no economic data releases scheduled for the day they are likely to consolidate.

Copper

Copper for three-month delivery rose 0.4% to $7,409 on the London Metal Exchange as inventories slumped to nine-month lows on the speculation of improving demand. LME copper inventories were down 1,675 tonnes to 405,025 tonnes Tuesday. The metal faces support at $7,354 and resistance at $7,431. ...

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Stocks Look to Extend Drop After Cisco Earnings

twocents@thestreet.com (The Associated Press) — Thu, 12 Aug 2010 11:23 GMT

JOYCE M. ROSENBERG

NEW YORK (AP) -- Stocks are heading for a modestly lower opening after Cisco Systems added to investors' anxiety by reporting revenue figures that fell short of forecasts.

Stock index futures are down slightly following Wednesday's big market drop that sent the Dow Jones industrial average down 265 points. Investors have a darker view of the economy after the Federal Reserve lowered its assessment of the recovery on Tuesday. And the latest economic numbers from the U.S. and other countries point to slower growth. ...