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commodity futures news

June 27th, 2013

Commodity Futures – CME Group Inc., the world’s largest futures-exchange owner, is closing its wheat-trading pit in Kansas City today, ending a 157-year run, before shifting transactions next week to the Chicago Board of Trade.

CME acquired the Kansas City Board of Trade in October for $126 million, gaining control of a wheat-futures market that was the largest in the world behind the CBOT. With most Kansas City contracts already bought and sold on CME’s Globex electronic system, the company elected to halt face-to-face transactions in the city, where trading began in 1856.

Pit traders in Chicago will be able to buy and sell Kansas City futures face to face starting July 1, according to the exchange. The contracts are for high-protein, hard, red winter wheat used to make bread. Chicago futures are for soft, red winter wheat used mostly in cookies and cakes.

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Natural Gas Drops to 16-Week Low

On June 27, 2013, in natural gas futures news, by Infinity Trading
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Natural gas futures drop

June 27th, 2013

Natural gas futures fell to the lowest price in 16 weeks in New York after U.S. stockpiles increased more than forecast.

Gas tumbled as much as 4.7 percent as the Energy Information Administration said inventories rose 95 billion cubic feet in the week ended June 21 to 2.533 trillion cubic feet. Analyst estimates and a survey of Bloomberg users both showed a 90-billion increase. Supply gains have topped five-year averages for four straight weeks as mild weather reduced demand.

”Today’s inventory report is a reflection of the fact that we have very sluggish demand picture right now,” said Dominick Chirichella, senior partner at the Energy Management Institute in New York. “I don’t see a significant call on natural gas for power generation to meet cooling needs because cooling needs aren’t going to be all that high.”

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Gold Slips to 34-Month Low

On June 26, 2013, in gold futures trading news report, by Infinity Trading
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Gold futures slip

June 26th, 2013

Gold futures plunged to a 34-month low, set for a record quarterly drop, as improving U.S. economic data strengthened the case for the Federal Reserve to reduce stimulus. Silver futures fell to the lowest since August 2010.

Gold dropped 23 percent this quarter, heading for its biggest loss since at least 1920 in London. Fed Chairman Ben S. Bernanke said last week the central bank may slow its asset-purchase program this year if the economy continues to improve. U.S. durable-goods orders rose more than expected, home sales advanced to the highest in almost five years and consumer confidence climbed, data showed yesterday.

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Crude Oil Rises On Supply Outlook

On June 25, 2013, in Crude Oil Futures News Report, by Infinity Trading
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Crude oil futures rise

June 25th, 2013

Crude Oil – West Texas Intermediate advanced for a second day amid forecasts that crude stockpiles dwindled last week in the U.S., the world’s largest oil consumer.

Crude oil futures rose as much as 1 percent in New York. U.S. inventories probably shrank by 2 million barrels last week as refineries increased operations, a Bloomberg News survey showed before a government report tomorrow. World oil consumption will rise in the second half of this year as economic growth continues to recover, Goldman Sachs Group Inc. said today.

WTI “continues to benefit from a more positive outlook for the U.S. economy and, most importantly, decent summer refinery runs,” said Andrey Kryuchenkov, an analyst at VTB Capital in London who predicts the U.S. benchmark may struggle to exceed $96 a barrel this month because of limited investor demand for anything but the lowest-risk assets.

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Gold Rebounds in New York

On June 21, 2013, in gold futures trading news report, by Infinity Trading
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Gold futures rebound

June 21st, 2013

Gold futures rose from their lowest level since 2010 on speculation the slump may spur purchases. The metal is still set for its worst week since April after Federal Reserve Chairman Ben S. Bernanke said that the central bank may start curbing stimulus.

Bullion futures slid 6.4 percent yesterday, a day after Bernanke said the central bank may start reducing $85 billion in monthly debt buying this year and end the program in 2014. Prices reached $1,268.70 an ounce today, the cheapest since Sept. 16, 2010. Gold’s 14-day relative strength index was at 30.3, near the level of 30 that indicates to some analysts who study technical charts that a rebound may be imminent.

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Commodities From Gold to Oil Slump

On June 20, 2013, in Commodity Futures News Report, by Infinity Trading
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Commodity futures slump

June 20th, 2013

Commodity Futures – Commodities tumbled by the most in six weeks as everything from gold to crude oil and copper dropped on concern that the Federal Reserve may phase out stimulus and as China’s cash crunch worsened.

The Standard & Poor’s GSCI Index of 24 raw materials lost as much as 2 percent to 622.91, the biggest intraday loss since May 10, before reaching 625.31 as of 1:41 p.m. in London. Gold for immediate delivery fell below $1,300 an ounce to the lowest in more than 2 1/2 years and silver plunged 7.8 percent. West Texas Intermediate crude dropped 2.3 percent to $96 a barrel.

Chairman Ben S. Bernanke said the Fed may start tapering bond purchases that have fueled gains in markets globally and end the program next year should risks to the economy abate. China’s benchmark money-market rate climbed to a record and a private report showed manufacturing shrank at a faster pace, spurring concerns that demand is slowing in the world’s biggest consumer of energy and metals.

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Crude Oil Advances to Nine-Month High

On June 19, 2013, in Crude Oil Futures News Report, by Infinity Trading
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Crude oil futures advance

June 19th, 2013

Crude Oil – West Texas Intermediate crude traded near a nine-month high after an industry report showed U.S. inventories dropped last week.

Crude oil futures were little changed after rising as much as 0.6 percent. Crude stockpiles fell by 4.3 million barrels in the week ended June 14, the American Petroleum Institute said. An Energy Information Administration report today may show supplies shrank by 500,000 barrels, according to a Bloomberg News survey. Russian President Vladimir Putin agreed to sign a statement at the Group of Eight summit calling for a “transitional government” in Syria. The U.S. Federal Reserve will release a statement and economic forecasts when its meeting ends today.

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Gasoline Futures Advance

On June 18, 2013, in gasoline futures trading news, by Infinity Trading
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Gasoline futures advance

June 18th, 2013

Gasoline rose after reports showed the U.S. housing market is strengthening, boosting optimism that fuel demand will improve. Crack spreads widened.

Gasoline futures gained as housing starts climbed 6.8 percent in May to a 914,000 annualized rate. Permits to build single-family homes increased 1.3 percent to a 622,000 pace, the fastest in five years. A report yesterday showed the Federal Reserve Bank of New York’s general economic gauge, known as the Empire State index, climbed to 7.8 this month from minus 1.4 in May, signaling future expansion.

“On top of yesterday’s Empire stats, the housing data was positive,” said Gene McGillian, an analyst and broker at Tradition Energy in Stamford, Connecticut. “We continue to get indications that economy is improving.”

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Hog futures gain

June 17th, 2013

Hog futures rallied for the first time in three sessions on speculation that warmer weather will boost demand for U.S. pork as more consumers grill outdoors. Cattle prices were little changed.

Wholesale pork added 3.3 percent to $1.0432 a pound on June 14, the highest since Aug. 22, 2011, U.S. Department of Agriculture data show. Prices added 8.1 percent last week, the most in a year, USDA data show. Rains will be limited in the Midwest early this week and temperatures will be at or above normal for the next two weeks, according to an e-mailed report from Commodity Weather Group LLC in Bethesda, Maryland.

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s&p 500 futures

s&p futures rise

June 17th, 2013

U.S. stocks advanced, with the Standard & Poor’s 500 Index rebounding from last week’s decline, as investors awaited this week’s Federal Reserve monetary policy meeting.

The S&P 500 (SPX) climbed 0.7 percent to 1,638.26 at 9:31 a.m. in New York.

“Markets have now come to terms with all this tapering talk and we’re going to have a relief rally this week,” Alan Higgins, chief investment officer at Coutts & Co. in London, told Mark Barton on Bloomberg Television. “There has been a lot of communication from a lot of people involved in the Fed, but Bernanke is definitely in charge. He can’t back away completely from tapering, but he’s likely to be dovish.”

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