Oil prices rebounded and gold firmed this week as markets reacted to geopolitical concerns and the outlook for interest rates in the US.
A strong US dollar capped gains for certain commodities priced in the US unit and caused others to drop week-on-week.
The dollar has fought back against the euro in recent weeks as markets bet on rises to US interest rates later this year despite a clouded outlook. This has made dollar-denominated raw materials like oil and gold more expensive for holders of rival currencies, denting demand.
Photo: Bloomberg
OIL: Crude prices rose, supported by concerns over Iran’s nuclear deal that helped to offset worries about a US supply glut according to analysts.
By Friday on London’s Intercontinental Exchange, Brent North Sea crude for delivery in May jumped to US$56.84 a barrel from US$54.80 on Thursday of the previous week, when trading stopped earlier than usual for Easter.
On the New York Mercantile Exchange, West Texas Intermediate or light sweet crude for May climbed to US$50.80 compared with US$49.29.
PRECIOUS METALS: Gold rose slightly, with support coming from the fact that it is regarded by investors as a safe bet in times of geopolitical and economic uncertainty.
By Friday on the London Bullion Market, the price of gold firmed to US$1,207.35 an ounce from US$1,198.50 on Thursday of the previous week.
Silver fell to US$16.55 an ounce from US$16.84.
On the London Platinum and Palladium Market, platinum rose to US$1,171 an ounce from US$1,154.
Palladium increased to US$777 an ounce from US$751.
BASE METALS: Base or industrial metals diverged as traders assessed the growth outlook for China.
By Friday on the London Metal Exchange, copper for delivery in three months rose to US$6,025.50 a tonne from US$5,993 on Thursday of the previous week.
Three-month aluminum fell to US$1,766.50 a tonne from US$1,774.50.
Three-month lead increased to US$1,998.50 a tonne from US$1,870.
Three-month tin dropped to US$16,570 a tonne from US$16,750.
Three-month nickel retreated to US$12,680 a tonne from US$12,935.
Three-month zinc edged higher to US$2,107.50 a tonne from US$2,081.50.
Real estate agent and property developer JSL Construction & Development Co (愛山林) led the average compensation rankings among companies listed on the Taiwan Stock Exchange (TWSE) last year, while contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) finished 14th. JSL Construction paid its employees total average compensation of NT$4.78 million (US$159,701), down 13.5 percent from a year earlier, but still ahead of the most profitable listed tech giants, including TSMC, TWSE data showed. Last year, the average compensation (which includes salary, overtime, bonuses and allowances) paid by TSMC rose 21.6 percent to reach about NT$3.33 million, lifting its ranking by 10 notches
SEASONAL WEAKNESS: The combined revenue of the top 10 foundries fell 5.4%, but rush orders and China’s subsidies partially offset slowing demand Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) further solidified its dominance in the global wafer foundry business in the first quarter of this year, remaining far ahead of its closest rival, Samsung Electronics Co, TrendForce Corp (集邦科技) said yesterday. TSMC posted US$25.52 billion in sales in the January-to-March period, down 5 percent from the previous quarter, but its market share rose from 67.1 percent the previous quarter to 67.6 percent, TrendForce said in a report. While smartphone-related wafer shipments declined in the first quarter due to seasonal factors, solid demand for artificial intelligence (AI) and high-performance computing (HPC) devices and urgent TV-related orders
Prices of gasoline and diesel products at domestic fuel stations are this week to rise NT$0.2 and NT$0.3 per liter respectively, after international crude oil prices increased last week, CPC Corp, Taiwan (台灣中油) and Formosa Petrochemical Corp (台塑石化) said yesterday. International crude oil prices last week snapped a two-week losing streak as the geopolitical situation between Russia and Ukraine turned increasingly tense, CPC said in a statement. News that some oil production facilities in Alberta, Canada, were shut down due to wildfires and that US-Iran nuclear talks made no progress also helped push oil prices to a significant weekly gain, Formosa said
MINERAL DIPLOMACY: The Chinese commerce ministry said it approved applications for the export of rare earths in a move that could help ease US-China trade tensions Chinese Vice Premier He Lifeng (何立峰) is today to meet a US delegation for talks in the UK, Beijing announced on Saturday amid a fragile truce in the trade dispute between the two powers. He is to visit the UK from yesterday to Friday at the invitation of the British government, the Chinese Ministry of Foreign Affairs said in a statement. He and US representatives are to cochair the first meeting of the US-China economic and trade consultation mechanism, it said. US President Donald Trump on Friday announced that a new round of trade talks with China would start in London beginning today,
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