Bloomberg News

Coffee Futures Tumble Most in Three Months: Commodities at Close

April 23, 2013

The Standard & Poor’s GSCI Spot Index of 24 raw materials fell 0.3 percent to settle at 607.11 at 4 p.m. New York timed, led by coffee.

The UBS Bloomberg CMCI gauge of 26 prices declined 0.6 percent to 1,447.94.

SOFT COMMODITIES

Coffee fell the most in three months on speculation that ample supplies in Brazil, the world’s leading producer, will compensate for crop losses from a fungal disease in Central America.

Goldman Sachs Group Inc. cut its price forecast, citing improving prospects for the 2013 crop in Brazil. As of March 31, farmers sold 75 percent of the most-recent harvest compared with 86 percent a year earlier, Porto Alegre, Brazil-based consulting firm Safras & Mercado estimates.

On ICE Futures U.S. in New York, arabica coffee for July delivery tumbled 3.9 percent to $1.3755 a pound, the biggest drop for a most-active contract since Jan. 22.

Cocoa futures for July delivery increased 0.7 percent to $2,327 a ton. Earlier, the price reached $2,355, the highest since Dec. 21.

Raw-sugar futures for July delivery slid 0.4 percent to 17.67 cents a pound.

Orange-juice futures for July delivery declined 1.2 percent to $1.416 a pound.

Cotton futures for July delivery dropped 1.2 percent to 85.1 cents a pound.

PRECIOUS METALS

Gold and silver futures slumped the most in a week as an equity rally and the dollar’s rebound crimped demand for the precious metals as alternative investments.

On the Comex in New York, gold futures for June delivery slid 0.9 percent to $1,408.80 an ounce, ending a three-session rally. The drop was the biggest since April 15, when the metal plunged 9.3 percent, the most in 33 years.

Silver futures for July delivery retreated 2.2 percent to $22.866 an ounce, the largest decline since April 15.

On the New York Mercantile Exchange, platinum futures for July delivery fell 1.3 percent to $1,417.80 an ounce, the lowest settlement since Aug. 15.

Palladium futures for June delivery slipped 1.3 percent to $673.35 an ounce.

BASE METALS

Copper slumped to an 18-month low after manufacturing was weaker than estimated in China, the biggest metal consumer.

On the Comex, copper futures for delivery in July declined 1.3 percent to $3.104 a pound. Earlier, the price touched $3.0685, the lowest since Oct. 20, 2011, after entering a bear market last week.

On the London Metal Exchange, copper for delivery in three months fell 0.9 percent to $6,870 a ton ($3.12 a pound). Nickel, tin and zinc dropped, while aluminum and lead gained.

GRAINS, OILSEEDS

Corn plunged to the lowest in almost 10 months on speculation that improving weather will boost planting in the U.S., the biggest exporter.

On the Chicago Board of Trade, corn futures for July delivery fell 1.5 percent $6.14 a bushel. Earlier, the price touched $6.1325, the lowest since June 26.

Soybean futures for July delivery slid 0.4 percent to $13.585 a bushel, the third straight decline.

Wheat futures for July delivery dropped 1 percent to $6.955 a bushel after touching $6.8825, the lowest since April 4.

OIL PRODUCTS

Gasoline dropped to a three-month low after a report that China’s manufacturing is expanding at a slower pace indicated lower fuel demand, and Goldman Sachs cut its outlook for Brent crude prices.

On the Nymex, gasoline futures for May delivery fell 1.8 percent to $2.719 a gallon, the lowest settlement since Jan. 15.

Ultra low-sulfur diesel futures for May delivery rose 0.1 percent to $2.8117 a gallon.

NATURAL GAS

Natural gas dropped for the second straight day as meteorologists predicted moderating temperatures that would reduce demand for the heating fuel.

On the Nymex, gas futures for May delivery fell 0.7 percent to $4.238 per million British thermal units.

U.K. same-day gas dropped as much as 2.1% to 63.8 pence a therm, the lowest since Jan. 4, according to broker data compiled by Bloomberg. A therm is 100,000 Btu.

LIVESTOCK

Hog prices rose for the first time in three sessions on speculation that warmer weather will boost U.S. grilling demand and meat purchases.

On the Chicago Mercantile Exchange, hog futures for June settlement climbed 0.1 percent to 89.575 cents a pound.

Cattle futures for June delivery were unchanged at $1.20825 a pound.

Feeder-cattle futures for August settlement rose 1.5 percent to $1.48125 a pound.

CRUDE OIL

Crude oil was little changed as data from China and Europe signaled a slowdown in global manufacturing and equities climbed for the third straight session.

On the Nymex, oil futures for June delivery fell less than 0.1 percent to $89.18 a barrel.

Brent oil for June settlement dropped 0.1 percent to $100.31 a barrel on the ICE Futures Europe exchange.

Total SA failed to buy North Sea Forties crude for a third session even after increasing its purchase price.

Eight more cargoes of the benchmark grade for loading next month were advanced by one to four days, including two lots brought forward to April, according to five people with direct knowledge of the matter.

To contact the reporter on this story: Thomas Galatola in New York at tgalatola@bloomberg.net

To contact the editor responsible for this story: Patrick McKiernan at pmckiernan@bloomberg.net


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