Close: London Session | Forex, Metals, Oil, Agriculture May 06, 2021



Of course, corn is used in hundreds of different products we buy at the grocery store, and so everyone is going to feel the pain of this price increase. less Did you know that the price of corn has risen 142 percent in the last 12 months? But it isn’t just the price of corn that is going crazy.


The dollar fell, as investors awaited clues on when the Federal Reserve will dial back monetary stimulus, while gold strengthened. The U.S. dollar fell, as investors awaited clues on when the Federal Reserve will dial back monetary stimulus. The yen, often a haven for nervous investors, has lost more than 5% against the dollar this year. (source) Using the ratio of 1 trillion marks to the US dollar in July 1923, the equivalent price for one ounce of gold was 20 TRILLION German marks!
The Antipodeans and sterling are trading with a slight downside bias, while the Canadian dollar rises to its best level since September 2017. Hedge funds and asset managers are scooping up derivatives that pay off when the dollar declines slowly or stays within a narrow range. 87990cbe856818d5eddac44c7b1cdeb8 Advertisement Sponsored Offers Share By Julia-Ambra Verlaine Close May 6, 2021 5:30 am ET Some investors are betting on a slow, steady grind downward for the U.S. dollar.
Many expected the dollar to slide in 2021, as global growth outpaced the U.S. expansion. The WSJ Dollar Index has gained roughly 1.4% this year. Do you think the U.S. dollar will fall lower over the next few months?


ArcelorMittal SA: The world’s largest steelmaker reported higher than expected first-quarter earnings after what it said was its strongest quarter in a decade. Gold prices for the latest contract on MCX are trading up by 0.3% at Rs 47,119 per 10 grams. Of course, commodity price inflation and consumer price inflation are quite different phenomena, as consumers don’t buy lumber or copper directly but only finished products made from these materials. These (copper, agrifoods, base metals, lumber, oil) continue appreciating in spite of nominal yields pulling back a little these days.
Consider this 2005 quote from Alan Greenspan: “So that the question is: would there be any advantage, at this particular stage, in going back to the gold standard? S&P 500 futures pointed to little change at the open, the 10-year Treasury yield was at 1.573%, oil slipped and gold gained. Gold is edging closer to $1800 again that held it back earlier this week. In addition to gold, he writes articles about inflation, interest rates, and the Federal Reserve.
Only, completely by accident, Gold is likely to remain silent, but it may catch up later. However, a fourteen-fold increase in the ratio of marks to gold was nothing compared to what was about to happen.


Canadian Natural Resources profit tops estimates on oil price boost Canadian Natural Resources reported a better-than-expected quarterly profit, buoyed by higher oil prices as COVID-19 vaccine rollouts lifted demand. So to recap: Norway reinvests its state-oil company s revenues back into said oil company, while also helping drive said oil company s energy transition strategy. The EIA reported that U.S. crude oil refinery inputs averaged 15.2 million barrels per day which was 225,000 barrels per day more than the previous week’s average.
The EIA reported that crude oil inventories fell by 8.0 million barrels from the previous week. Canadian Natural Resources Ltd: The company reported a better-than-expected quarterly profit, buoyed by higher oil prices as COVID-19 vaccine rollouts lifted demand. Now that India is facing a new COVID-19 outbreak, the expectation is that Indian refiners will cut crude oil purchases to reflect lower domestic demand.
Still, we saw a 2.9 million barrel drop in distillate supply reflecting more air travel and farmer planting demand, yet week over week demand fell.
That crude draw came as the EIA had the biggest crude adjustment in history which suggests that U.S. oil supplies have been tighter than the agency has been reporting. Last week a raft of oil majors released their first-quarter results, with companies like Royal Dutch Shell Plc showing a return to pre-pandemic profit levels. Author’s Publications Follow With oil prices now in the same price range they saw in mid-March, the commodity seems to have recovered from its brief swoon.

United States

US futures are firmer, including the NASDAQ, which fell for the fourth consecutive session yesterday, its longest slide since last October. The US 10-year yield also fell for the fourth session in a row yesterday, the longest decline since last September, but is stable near 1.57%. He warned investors last week to “prepare for inflation” as the US economy reopens and receives a fresh round of stimulus. less Earlier last week, Google (Nasdaq: GOOG) reported its first-quarter results that continued to surpass market expectations.
less The biopharmaceutical company (JAZZ), has finalized the acquisition of the cannabinoid drug company (NASDAQ GWPH). Still, the prompt spot market remains supported by demand from recovering markets such as China, Australia, and the US West Coast. Join Wall Street Journal editors and reporters for a live Q&A as they answer your questions about what’s happening in the cryptocurrency market. This is a theme that has been observed recently, with several spot vessels opting to divert towards the US due to firmer flying demand.
Recall, about a week ago, Amazon quickly tapped new highs before retreating, with the rest of the NASDAQ, in the following several sessions. ‘The US federal budget is on an unsustainable path, meaning simply that the debt is growing meaningfully faster than the economy.


China tensions | China announced that it was suspending a ministerial economic dialogue with Australia, in a largely symbolic move showing Beijing s growing frustration with Canberra. Beijing may step up efforts to encourage consumer boycotts of some “Western” brands. Beijing will halt the China-Australia Strategic Economic Dialogue, which hasn t convened since September 2017, after Australia canceled agreements between China s Belt and Road Initiative and Victoria state.
DR. BILL CONERLY USING DATA FROM INTERNATIONAL MONETARY FUND The recent efforts by Xi Jinping to control the economy more tightly will diminish future growth, according to Schuman. Besides being some rhetoric of displeasure, Beijing has suspended the formal economic dialogue with Australia. less President Xi Jinping of China is seen on a program from the CGTN.


Jersey shore | The U.K. and French navies dispatched military patrol vessels to the isle of Jersey amid a deepening row over post-Brexit fishing rights. It s the first opportunity voters have to register their satisfaction or lack thereof in the government s handling of Brexit and the pandemic. If First Minister Nicola Sturgeon s Scottish National Party gains an overall majority in Scotland, pressure will mount on Prime Minister Boris Johnson to concede a second independence referendum.
The EU denies it has suspended the ratification process (individual members and the EU Parliament), but the interest and ability to do so is clearly waning. Consider: The investment pact with the EU that was seven years in the making has not been ratified, and it might not be any time soon. Lizzy BurdenWe aim to keep you up to date on how the U.K. navigates the world after Brexit. A third said the U.K. leaving the EU had affected their costs or prices.