Close: London Session | Forex, Metals, Oil, Agriculture March 30, 2021



Corn prices have already climbed about 50% over the past six months, lifted by increased demand from China. About 40% of the U.S. corn crop goes to producing the gasoline additive, and consumption has plunged amid the pandemic. We have seen a stronger dollar and wheat, crude and gold prices collapse. The most-active corn contract trading on the Chicago Board of Trade closed Monday at nearly $5.47 a bushel. Over two decades ago Jay got his start at the Kansas City Board of Trade in the Wheat Futures pit.
On Feb. 9, corn topped $5.74 a bushel—its highest intraday level since July 2013.


The dollar has rallied above JPY110 for the first time since last March, and the euro has been pressed below $1.1735.Sterling and the dollar bloc are showing some resilience. Last year, gold hit an all-time high as measured in all major currencies – not just the U.S. dollar. Since the U.S. came off the gold standard, in 1971 under President Nixon, the dollar has lost 98% of its value versus gold. The black gold ignores the upbeat market mood and heads south amid a broadly stronger US dollar.
Meanwhile, the black gold could track the US dollar price action and the broader market sentiment. However, right now we need to see major summer weather problems and a sell-off in the dollar again in order to see this commodity boom continue. The dollar gained on U.S. recovery bets, while gold prices slid. After all, the US dollar, under the care and watchkeeping of the Federal Reserve Bank of the United States, has lost more than ninety-eight percent of its purchasing power.
Except for today’s depreciation, the INR has remained quite steady even though the Dollar Index rose. The U.S. dollar gained on U.S. recovery bets.


One may own the physical stuff (e.g., jewelry or bullion gold), own shares in a gold mining company (paper gold), or even shares in an ETF (Exchange-Traded Fund). The rule of thumb when investing in shares of a gold miner is that the miner’s profit increases with the price of gold. Acting on gold’s daily, unconfirmed breakout, would have one buy gold at the end of the previous week. The most famous for the gold mining industry is the VanEck Vectors Gold Miners ETF, or simply GDX.
BEFORE THE BELL Futures for Canada’s main stock index fell, weighed by a weakness in gold prices, while oil prices declined as the Suez Canal reopened to traffic. It tracks the overall performance of fifty-two major companies in the gold industry, and an investor in GDX will gain exposure to the most relevant companies in the industry. S&P 500 futures pointed to almost no change at the open, oil was slightly lower as traders awaited the latest OPEC meeting, and gold was under $1,700 an ounce.
Radomski is the author of Sunshine Profits’ Gold & Silver Trading Alerts and many of company’s investment tools. On the flip side, when the price of gold declines, the miners are the first ones exposed. He is also the author of the 2015 book, The Coming Renewal of Gold’s Secular Bull Market which is available for free.


Refinitiv data shows that fuel oil exports from the region came in low last week at 425,000 MT, but this may change if additional flows emerge. There was a significant upward revision to prior week fuel oil export numbers for both nations as new flows were identified at discharge zones following AIS outages. Three fuel oil cargoes loaded in Saudi Arabia last week, two of which discharged at domestic ports. With oil prices making steady gains earlier this year, OPEC and allies, known as OPEC+, had hoped to ease output cuts.
The volatility in crude oil and gasoline prices has been clearly reflected in recent years in both the Consumer Price Index (CPI) and Personal Consumption Expenditures (PCE).
Now the Saudis are saying they will extend cuts until June according to Amena Bakr which should at some point send oil prices higher. US JET FUEL IMPORTS: Jet fuel imports last week reached 214,431 bpd aboard 4 vessel(s). The crisis-stricken OPEC nation’s crude exports have plummeted since the United States slapped sanctions on state oil company Petroleos de Venezuela in January 2019.
Next of note for the US oil remains the weekly crude stockpiles data due to be released by the American Petroleum Institute (API) later on Tuesday. less The crude oil world is swinging as the congestion trade continues.

United States

But that’s a different question altogether than whether it’s artificial.A related thing you often hear is that the Fed may, from time to time, attempt to suppress interest rates. But the Fed can’t suppress rates either because that implies that there’s some natural level rates would otherwise go to. Also when the US 10 Year bond yields has spiked sharply India’s 10 Year Bond Yield has remained quite stable. BEFORE THE BELL Nasdaq futures were down as a rise in treasury bond yields hit technology related stocks.
Nasdaq futures were down as a rise in treasury bond yields hit technology related stocks. The decline in benchmark Treasury yields this week is in sync with the Fed’s decision to maintain its dovish monetary policies at least over the near term. Positive expectations for the US labor market and negative sentiment in Europe due to new quarantine measures put pressure on the pair. less The US 10-year yield is at new highs since January 2020, pressing above 1.77% and helping pull up global yields today.
A sharp plunge in ViacomCBS ’s share price last week looked suspiciously like Wall Street coming to its senses. So, will the Federal Reserve help out the US Government by keeping interest rates ultra-low for the foreseeable future?


less During the last year, the global cannabis market has recorded significant advancements as new markets in the European Union (EU) and Latin America have started to gain traction. This is why the ECB has front-loaded its asset purchases, continuing with a very accommodative monetary policy, rather than reacting with any policy normalization. ECB governor warns against sharp policy tilt when crisis passes. “Since the introduction in the EU of a monetary union (around 1995), Italy has been suffering the worst period with several consecutive economic falls.
It will be similar to the degrading economic status of France in the EU after the Monetary Union was introduced but on the global scale. In this blog, I recommended France and Italy to leave the EU as Germany squeezes them like a python. In fact, it would need significant second-round effects on wages for the ECB to become more concerned. By now, I have built up excellent skills and experience in analyzing macroeconomic and political developments in Europe, the Eurozone and Germany, including ECB watching.
In this blog, I recommended France, Italy, and Spain to leave the EU as Germany squeezes them as a piton.
Contributor Ivan Kitov in his article Economically, Italy Dropped Into The Mid-1990s drops an additional “bombshell” of an idea suggesting that both France and Italy also, exit the EU.