July 26th, 2012

Gold futures rose for the second day after the European Central Bank president said policy makers will do whatever is needed to preserve the euro and amid increasing expectations of further stimulus measures in the U.S.

“To the extent that the size of these sovereign premia hamper the functioning of the monetary policy transmission channel, they come within our mandate,” ECB President Mario Draghi said today. Orders for U.S. durable goods excluding the transportation category unexpectedly dropped 1.1 percent in June, the most in five months, a Commerce Department report showed, boosting speculation that the Federal Reserve will step up measures to stabilize growth.

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July 26th, 2012

S&P 500 Futures – U.S. stocks rose, snapping a four- day drop in the Standard & Poor’s 500 Index, as European Central Bank President Mario Draghi pledged to defend the euro.

3M Co. (V), the maker of Post-It Notes, and Visa Inc., the world’s largest payments network, added at least 2 percent on better-than-estimated earnings. PulteGroup Inc. (PHM), the largest U.S. homebuilder by revenue, surged 17 percent amid a jump in orders. Sprint Nextel Corp. (S) and MetroPCS Communications Inc. soared at least 19 percent after their results. Facebook Inc. (FB) slumped 6.6 percent ahead of its quarterly numbers.

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Crude Oil Tumbles as Supplies Gain, U.S. Output Surges

On July 25, 2012, in Uncategorized, by Infinity Trading

July 25th, 2012

Crude oil declined after an Energy Department report showed U.S. stockpiles unexpectedly climbed as production surged to the highest level in 13 years.

Crude oil futures fell as much as 1.8 percent after the department said supplies rose 2.72 million barrels to 380.1 million last week. A 1 million-barrel decrease was projected, according to analysts surveyed by Bloomberg. U.S. crude output advanced 1.9 percent to 6.36 million, the highest level since February 1999.

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July 25th, 2012

Corn futures rose in Chicago on speculation rains forecast for parts of the U.S. may fail to reverse crop losses caused by the worst Midwest drought in at least a generation. Soybeans also gained.

Areas of Indiana and Ohio had as much as 0.75 inch of rain yesterday, and parts of the eastern Corn Belt may receive an inch tomorrow, Telvent DTN said. While rain may ease crop stress, “this will not be a drought-breaking situation,” the forecaster said. As of July 22, 86 percent of the corn crop already entered the silking stage, critical for determining yields, Department of Agriculture data show.

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July 9th, 2012

Copper futures rose for the first time in three sessions on speculation that China will take more steps to spur its economy, bolstering the outlook for metals demand.

Chinese officials will intensify their response to a slowdown in the country’s economy, Premier Wen Jiabao said. He spoke as government figures showed inflation reached a 29-month low. Goldman Sachs Group Inc. said copper usage probably will keep climbing in the Asian nation, the world’s top metals consumer.

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July 9th, 2012

Soybean Futures – Corn rose the most allowed by the Chicago Board of Trade and soybeans extended a rally to a four- year high as hot, dry weather in the past two weeks eroded prospects for output in the U.S., the world’s biggest grower of the crops.

More than 50 percent of the growing region was stressed by temperatures that exceeded 95 degrees Fahrenheit (35 degrees Celsius) on at least six of the past 14 days, T-Storm Weather LLC said in a report. As of yesterday, more than 91 percent of the production area was dry at the topsoil level and 59 percent was at high risk of intense stress and lower yields, the Chicago-based analyst said.

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July 9th, 2012

Corn Futures – The worst U.S. drought since Ronald Reagan was president is withering the world’s largest corn crop, and the speed of the damage may spur the government to make a record cut in its July estimate for domestic inventories.

Tumbling yields will combine with the greatest-ever global demand to leave U.S. stockpiles on Sept. 1, 2013, at 1.216 billion bushels (30.89 million metric tons), according to the average of 31 analyst estimates compiled by Bloomberg. That’s 35 percent below the U.S. Department of Agriculture’s June 12 forecast, implying the biggest reduction since at least 1973. The USDA updates its harvest and inventory estimates July 11.

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July 6th, 2012

Sugar Futures – Sugar traders are the most bullish in six months after prices moved to within five percentage points of exiting a year-long bear market as rain delayed cane processing in Brazil, the biggest producer.

Nine of 11 analysts surveyed by Bloomberg said they expect raw sugar to keep rallying next week and two were bearish, the highest proportion of bulls since Jan. 6. Futures reached an 11- week high of 22.69 cents a pound in New York yesterday. Hedge funds increased wagers on rising prices by 29 percent to the highest since April in the week ended June 26, U.S. Commodity Futures Trading Commission data show.

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July 5th, 2012

Gold futures fell the most in a week on bets that the Federal Reserve may refrain from more stimulus measures, while the dollar’s rebound eroded the appeal of the metal as an alternative investment.

Data from ADP Employer Services showed today that U.S. companies added more workers than forecast in June, which may ease concern that the labor market is deteriorating. The euro tumbled to a four-week low against the dollar after the European Central Bank cut its benchmark interest rate to a record.

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July 5th, 2012

Euro Futures – The euro tumbled to the lowest level in more than a month versus the dollar after the European Central Bank cut its key interest rate to a record 0.75 percent and reduced its deposit rate to zero for the first time.

The shared currency weakened against higher-yielding peers including the Australian dollar as ECB President Mario Draghi said some risks to growth have “materialized.” The Dollar Index jumped the most in almost eight months as reports showed U.S. labor-market improvement. The pound fell against the dollar after the Bank of England extended its asset-purchase program.

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