It looks like the commodity market is done taking a breather, and it's on the way again, as not only agricultural products went up in significant amounts, but a number of metals increased along with them.
After the hit commodities took last week, the usual number of the uninformed called the end to the sector: how wrong they were!
Of course this doesn't mean we're going to on huge surges all the time, but I do think overall, we'll see a steady climb in the overall sector, with the occasional dip. Of course it all depends on the individual commodity and its performance, but overall this trend should continue on for some time.
Both corn and soybeans gained the allowable amount on the Chicago Board of Trade. Others like cocoa also had significant increases, with cocoa growing by 6 percent and coffee by 3 percent in New York.
Upheavals in Argentina, with farmers striking ports, caused concerns on what would get out of the country, as well as wet weather conditions in the eastern part of the midwest have slowed down planting dates for corn. It finished at $5.44-3/4 a bushel for the May contract today.
Soybeans also hit their limit for the second straight day, as it reached $13.07 a bushel for May SK8, when hitting its 50-cent limit. Most other contract months on the CBOT hit their limits as well.
Wheat responded to the agriculture rally, as its May WK8 contract closed at $10.67-1/2 a bushel, an increase of 47-1/2 cents.
The rally in corn and soybeans also lifted CBOT wheat for May WK8, which closed up 47-1/2 cents at $10.67-1/2 per bushel.
Light crude in the U.S. increased to $101.22 a barrel, moving up 36 cents. Its cousin across the pond, London Brent Crude surged by 74 cents, to reach 100.60 a barrel.
Others that enjoyed surges were gold, copper and U.S. crude oil.
No comments:
Post a Comment