Close: London Session | Forex, Metals, Oil, Agriculture May 12, 2021



Soybean oil, the second-most consumed oil, is up 150% in the past year, and sunflower oil prices from Ukraine have more than doubled. The bloc “needs to be flexible in its enforcement,” said Yves Kone, managing director of Le Conseil du Cafe-Cacao, Ivory Coast’s cocoa regulator. Farmer poverty remains a challenge, and excess supply of cocoa in the market could exacerbate this situation. Lebanon’s central bank supplies dollars to importers of petroleum, wheat and medicines at a preferential exchange rate, effectively subsidizing them.
SIMP also cultivates sugar cane, rubber, and other crops. The 27-nation EU buys almost 70% of Ivory Coast’s cocoa. A startup brews coffee without beans.


The steepest losses are seen in the Australian dollar (-0.40%) and the New Zealand dollar (-0.51%). In essence, this could pose a threat to the US dollar in terms of global trading since a digital token would be much easier to use than paper. Recent bouts of risk aversion lent some much-needed oxygen to the dollar, although the negative stance on the currency appears to dominate the broader scenario for the time being. Nevertheless, similar to the response to the jobs data, markets responded forcefully, this time sending the dollar higher and stocks down.
The foreign exchange market has turned quiet as the dollar consolidates its recent losses. Pay attention to the US dollar, because it almost certainly will move inversely of this market. Both welcomed the continuing dollar woes, and faced off with the rising rates that would ultimately cut into their profitability – much further down the road. By the time of writing, the dollar was trading in positive territory against major currencies.
A risk off tone in the market is supporting the safe haven US Dollar. Treasuries tumbled following the data, with the 10-year yield rising to 1.647%, while the dollar climbed and S&P 500 futures extended losses.


Gold prices for the latest contract on MCX are trading on a flat note today at Rs 47,597 per 10 grams. Gold prices are trading up by 0.04% at Rs 47,615 per 10 grams. Spot gold is currently trading at $1,833.08 per ounce as of 0751 GMT. These principles are important when waiting out gold’s temporary upswings in a medium-term downswing, and also when waiting for gold’s eventual ascent. The Gold Analyst offers quality technical and fundamental analysis of the price of gold to help educate readers in their investment decisions.
Even with the recent volatility in prices, gold remains among the best-performing commodities this year to combat the fallout from the coronavirus pandemic. As you can see, barring just two years – 2013 and 2015, gold has delivered positive returns in 13 of the last 15 years. It will also depend on the US CPI result today due to the strong correlation between the US inflation and GOLD. Further, below I show total inflation YoY (blue), inflation ex-gas (gold), and Fed funds rates (red, /2 for scale).
In his writing and research, Sumner specializes in monetary policy, the role of the international gold market in the Great Depression, and the history of macroeconomic thought.


The American Petroleum Institute, late Tuesday, said crude oil inventories fell 2.533 million barrels for the week ending May 7. The International Energy Agency said the oil supply glut created by Covid-19 has cleared, even as demand is hit by the resurgence of the virus in India. Its business covers the whole supply chain from R&D, seed breeding, oil palm cultivation, and milling to production and marketing of cooking oil, margarine, and shortening products.
While gasoline supplies are running out in some regions, processors are being forced to reduce run rates, cutting crude oil demand.
less Up until 2018, the Norwegian oil company Statoil was one of the world’s integrated supermajor oil companies. She also said that we did not have a gas shortage but a gas squeeze and suggested that we should not panic about the gasoline supply. “The outlook for demand remains fragile,” Toril Bosoni, head of the IEA’s oil markets and industry division, said in a Bloomberg television interview. While the immediate catalyst for the rise is supply issues arising from the continued disruption of operations at Colonial Pipeline, crude oil is up more than 35% this year.
I have worked in the areas of oil refining, natural gas production, synthetic fuels, ethanol production, butanol production, and various biomass to energy projects. Among other ideas for participating in what looked like a slam-dunk oil trade, I offered ProShares Bloomberg Oil 2x (UCO $65 +79% YTD).

United States

No fewer than five Fed officials appeared on Tuesday, repeating the bank’s message that inflation is transitory and that the economy has a long way to go. But the remainder of the day could have a lot to do with the market digesting this latest inflation data out of the US. She survived one attempt to remove her after that vote, but she has continued to criticize Trump and assail his repeated false election claims. Data storage firm (NASDAQ:STX), activewear apparel group (NYSE:HBI), real estate investment trust (REIT) (NASDAQ:REG) and data and record storage group (NYSE:IRM) lead the names in the ETF.
The combination of improving expectations for the US economic outlook and hotter inflation has lifted energy stocks sharply this year. Both Fed officials and many large investors remain confident that the bout of inflation will be temporary. One of the promises made by Donald Trump before being elected President in 2016 was that his administration would lower the corporate tax.
She warned anew in a House floor speech Tuesday that the GOP’s embrace of Trump and his repeated unfounded election claims is damaging the party and the country. There is still another inflation print due before the Fed trade decision in June, and another jobs report. “The House GOP has a massive opportunity to upgrade this week from warmonger Liz Cheney to gifted communicator Elise Stefanik,” Trump said in a statement released Monday.


The security body was set up in June last year after Beijing imposed a sweeping law that banned subversion, secession, terrorism and collusion with foreign powers. The EU has frozen the ratification of an investment agreement with Beijing after officials were sanctioned in a clash over alleged human rights abuses. It’s half-baked and needs to be tweaked, but Beijing is going in the right direction.


goods exports to the EU rose 8.6% in March from a month earlier, while imports from the bloc increased 4.5% — both driven by cars, the ONS said. “Today, for the first time since the pandemic hit, we see optimism prevailing over uncertainty,” Paolo Gentiloni, EU Commissioner for the economy, said at a press conference. Total output by the EU’s 27 member states is now expected to reach its pre-pandemic size by the end of this year, earlier than initially thought.
Macron’s rating has dropped to minus 24%, the lowest since Kekst CNC began polling the issue last year. A senior EU diplomat said the move was directly linked to support for the Navalny-related measures. Futures prices of emission allowances in the EU’s trading system are soaring Source: Bloomberg This carbon price must eventually go much higher yet. The turmoil in March 2020 mainly hit funds based in the U.S. and European Union, the FSB said. In the decision, the court argued that EU regulators had failed to prove that Amazon had received an illegal advantage from certain decisions made by the Luxembourg government.
Better yet, the EU, as part of its quest to become carbon neutral by 2050, will expand this emissions trading system.
But politicians from the country’s three main groups have failed to agree on the changes, effectively halting Sarajevo’s efforts to advance its EU accession path.