Jan. 16 (Bloomberg) -- The Standard & Poor’s GSCI gauge of 24 commodities fell 0.6 percent to 651.54 on Jan. 13. The UBS Bloomberg CMCI index of 26 raw materials dropped 0.6 percent to 1541.869.
Oil climbed from the lowest price in almost four weeks as Iran said that a disruption to crude supplies through the Strait of Hormuz would cause a shock to markets that “no country” could manage.
Crude for February delivery rose as much as 60 cents to $99.30 a barrel in electronic trading on the New York Mercantile Exchange and was at $99.19 at 4:03 p.m. Singapore time. The contract fell 0.4 percent to $98.70 on Jan. 13, the lowest close since Dec. 21. There will be no floor trading in New York today because of the Martin Luther King Jr. holiday.
Brent oil for February settlement was at $111.40 a barrel, up 90 cents on the London-based ICE Futures Europe exchange. The contract expires today. The more actively traded March futures rose $1.01 to $111.36 a barrel. The European benchmark contract’s premium to West Texas Intermediate futures was at $12.20, compared with a record $27.88 on Oct. 14. Crude markets: NI CRMKTS <GO>
Futures fell for a sixth day in New York. Natural gas for February delivery declined 11.4 cents to $2.556 per million British thermal units on the New York Mercantile Exchange. The futures have slid 15 percent this year. U.S. natural gas market: NI NUSMKT <GO>
Benchmark naphtha swaps fell $5.55, or 0.6 percent, to $931.95 a metric ton at 12 p.m. Singapore time, according to PVM Oil Associates Ltd., a broker. The petrochemical feedstock is down for a fourth day, the longest streak since Nov. 15.
Naphtha’s premium to London-traded Brent crude futures dropped $8.49 to $96.96 a ton, based on data compiled by Bloomberg. This crack spread, a measure of refining profit, is at the narrowest since Jan. 5.
Fuel oil’s discount to Asian marker Dubai crude widened 31 cents to $2.28 a barrel, according to PVM. That’s the biggest gap in four days. High-sulfur fuel oil swaps for February declined $5.50, or 0.8 percent, to $691.50 a ton, PVM said.
The premium of gasoil, or diesel, to Dubai crude rose 34 cents to $18.89 a barrel, according to PVM. This crack spread widened for the first time in three days. February gasoil swaps fell 40 cents, or 0.3 percent, to $127.35 a barrel, PVM said. Oil Products markets: NI OPAMKT <GO>
Gold advanced as signs of increased investment demand countered the effect of a stronger dollar after Standard & Poor’s reduced nine euro-region nations’ credit ratings. Futures gained.
Gold for immediate delivery increased 0.2 percent to $1,642.68 an ounce by 3:54 p.m. in Singapore, reversing a 0.5 percent decline. The metal rose for a second week in the five days ended Jan. 13, touching a one-month high of $1,662.20 on Jan. 12. February-delivery bullion gained 0.8 percent to $1,643.10 on the Comex in New York.
Spot silver rose 0.5 percent to $29.8425 an ounce, reversing earlier losses. Cash platinum was little changed at $1,489 an ounce. Immediate-delivery palladium was little changed at $638.50 an ounce. Precious metal markets: NI PCMKTS <GO>
Copper advanced on speculation that surging orders to remove the metal from warehouses signaled a revival in global demand.
The metal for delivery in three months climbed 0.4 percent to $8,032.75 a metric ton on the London Metal Exchange at 3:10 p.m. Shanghai time, erasing losses of as much as 1.1 percent. The metal for April-delivery on the Shanghai Futures Exchange closed little changed at 58,330 yuan ($9,237) a ton. a fire halted operations, spokesman Kouichi Shirai said today.
On the LME, lead gained 0.7 percent to $2,025.75 a ton. Aluminum and tin were little changed at $2,143 and $21,075 a ton, respectively. Zinc declined 0.5 percent to $1,951.25 per ton and nickel lost 0.3 percent to $19,535 per ton. Base metals markets: NI BMMKTS <GO>
GRAINS, SOFT COMMODITIES, LIVESTOCK
Hogs futures gained on signs that pork demand is climbing as adverse weather may disrupt shipments from Iowa, the biggest U.S. producer. Feeder-cattle prices advanced to a record.
Spot hogs rose 1.2 percent to 82.79 cents a pound, the highest since Dec. 15, government data showed Jan. 13. Hog futures for April settlement rose 0.9 percent to close at 86.575 cents a pound at 1 p.m. on the Chicago Mercantile Exchange. The contract fell 1.8 percent yesterday.
Feeder-cattle futures for March settlement gained 0.6percent to close at $1.518 a pound on the CME, after touching a record $1.523. Prices have climbed 20 percent in the past 12 months. Cattle futures for April delivery fell 0.05 cent to settle at $1.2525 a pound on the CME. Prices have climbed 9.3 percent in the past year.
Palm oil dropped to the lowest level in more than three weeks on concern that the mounting debt crisis in Europe may weaken demand for commodities.
The March delivery contract dropped as much as 1.5 percent to 3,103 ringgit ($986) per metric ton on the Malaysia Derivatives Exchange, a level last seen on Dec. 22, and traded at 3,122 ringgit at 11:27 a.m. in Kuala Lumpur.
Orange-juice futures on Jan. 13 rebounded from the biggest two-day slump since 2008 on renewed concern that a U.S. government probe of imports from Brazil will tighten supplies.
Orange juice for March delivery rallied 3.6 percent to settle at $1.846 a pound on ICE Futures U.S. in New York, after jumping as much as the exchange’s 20-cent limit, or 11 percent. The gain of 3.9 percent for the week was the fourth straight advance. Soft commodity markets: NI SOMKTS <GO> Grain markets: NI GRMKTS <GO>
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