Oil and gold prices extended their recent rallies this week as investors scooped up commodities on signs of a pick-up in a global economy that has suffered its worst downturn in decades.
OIL: Oil prices rose on Friday, hovering above US$60 levels ahead of an extended holiday weekend and as traders began focusing on an upcoming meeting of the OPEC cartel.
New York’s main futures contract, light, sweet crude for delivery in July, rose US$0.62 from Thursday’s close to end the week at US$61.67 per barrel. The July contract increased 8.2 percent this week. Prices are up 38 percent this year.
In London, Brent North Sea crude for July advanced US$0.85 from Thursday to US$60.78. Markets in Britain also will be closed tomorrow.
Trading was lackluster as dealers were reluctant to take positions ahead of a long weekend that includes the Memorial Day holiday tomorrow — also the unofficial start of the US’ summer driving season, which could drive fuel prices.
But higher stock prices and a weakening dollar gave a boost to the market.
“I think the market is taking a breather going into a three-day holiday,” Phil Flynn of Alaron Trading said.
But this “is an important weekend for the oil market,” he added.
The market “will be relieved that they see people traveling [and] on the other hand, if the numbers are disappointing, we’re going to see the concerns slip back into the market,” Flynn said.
PRECIOUS METALS: Gold prices reached the highest point in almost two months, benefiting from its safe-haven status amid a weak US dollar. Gold reached US$961.33 an ounce — a level last seen on March 26.
By late Friday on the London Bullion Market, gold rallied to US$959.75 an ounce from US$929.50 a week earlier.
Silver rose to US$14.83 an ounce from US$13.92.
On the London Platinum and Palladium Market, platinum climbed to US$1,149 an ounce at the late fixing on Friday from US$1,109.
Palladium gained to US$234 an ounce from US$224.50.
BASE METALS: Base metals prices diverged.
By Friday on the London Metal Exchange, copper for delivery in three months rose to US$4,582 a tonne from US$4,352 a week earlier.
Three-month aluminum fell to US$1,437 a tonne from US$1,515.
COFFEE: Coffee prices extended recent gains.
By Friday on LIFFE, Robusta for delivery in July climbed to US$1,526 a tonne from US$1,500 a week earlier.
On the NYBOT, Arabica for July jumped to US$1.382 a pound from US$1.27.
GRAINS AND SOYA: Grains and soya prices climbed. Allendale analyst Joe Victor said it had been an “ideal” week for prices, with “crude oil higher, [the] dollar lower and support of the stock market.”
By Friday on the Chicago Board of Trade, maize for delivery in July rose to US$4.29 a bushel from US$4.17 a week earlier.
July-dated soyabean meal — used in animal feed — increased to US$11.73 from US$11.30.
Wheat for July advanced to US$6.07 a bushel from US$5.77.
Also See: Colombian coffee exports down 21% in first four months
ROLLER-COASTER RIDE: More than five earthquakes ranging from magnitude 4.4 to 5.5 on the Richter scale shook eastern Taiwan in rapid succession yesterday afternoon Back-to-back weather fronts are forecast to hit Taiwan this week, resulting in rain across the nation in the coming days, the Central Weather Administration said yesterday, as it also warned residents in mountainous regions to be wary of landslides and rockfalls. As the first front approached, sporadic rainfall began in central and northern parts of Taiwan yesterday, the agency said, adding that rain is forecast to intensify in those regions today, while brief showers would also affect other parts of the nation. A second weather system is forecast to arrive on Thursday, bringing additional rain to the whole nation until Sunday, it
CONDITIONAL: The PRC imposes secret requirements that the funding it provides cannot be spent in states with diplomatic relations with Taiwan, Emma Reilly said China has been bribing UN officials to obtain “special benefits” and to block funding from countries that have diplomatic ties with Taiwan, a former UN employee told the British House of Commons on Tuesday. At a House of Commons Foreign Affairs Committee hearing into “international relations within the multilateral system,” former Office of the UN High Commissioner for Human Rights (OHCHR) employee Emma Reilly said in a written statement that “Beijing paid bribes to the two successive Presidents of the [UN] General Assembly” during the two-year negotiation of the Sustainable Development Goals. Another way China exercises influence within the UN Secretariat is
CHINA REACTS: The patrol and reconnaissance plane ‘transited the Taiwan Strait in international airspace,’ the 7th Fleet said, while Taipei said it saw nothing unusual The US 7th Fleet yesterday said that a US Navy P-8A Poseidon flew through the Taiwan Strait, a day after US and Chinese defense heads held their first talks since November 2022 in an effort to reduce regional tensions. The patrol and reconnaissance plane “transited the Taiwan Strait in international airspace,” the 7th Fleet said in a news release. “By operating within the Taiwan Strait in accordance with international law, the United States upholds the navigational rights and freedoms of all nations.” In a separate statement, the Ministry of National Defense said that it monitored nearby waters and airspace as the aircraft
Taiwan’s first drag queen to compete on the internationally acclaimed RuPaul’s Drag Race, Nymphia Wind (妮妃雅), was on Friday crowned the “Next Drag Superstar.” Dressed in a sparkling banana dress, Nymphia Wind swept onto the stage for the final, and stole the show. “Taiwan this is for you,” she said right after show host RuPaul announced her as the winner. “To those who feel like they don’t belong, just remember to live fearlessly and to live their truth,” she said on stage. One of the frontrunners for the past 15 episodes, the 28-year-old breezed through to the final after weeks of showcasing her unique