Daily Close | Forex, Metals, Oil, Agriculture January 11, 2021



Very strong Palm Oil prices have made buying Soybean and Canola oils the better option. We kept each other going with coffee and newspapers reporting on the death of our friend Ved Mehta who wrote for the New Yorker. Soybean Oil and Canola were higher on strong demand ideas. Production problems for Soybeans in South America helped Soybean Oil. Trends in Cotton are up with objectives of 8370 March.


This might slowdown the flow of money into emerging markets and US Dollar might recoup its losses. However, with all the stimulus, borrowing, and surging mountain of the national debt, the dollar is viewed as less valuable when compared to its competitors, especially the Chinese Yuan. Commodities including natural rubber often gain from a weak dollar, the report said. The single most important thing to watch in the financial markets is the U.S. dollar which has completely collapsed since its peak in March.
If and when the dollar sees another rally for more than a day or two, I would expect stocks to pull back again in the single-digit range. US Dollar and metalsGenerally, rising yields are signs of economic growth and are positive for asset markets. Metals, that hold a negative link with US Dollar, might give up some of the “excessive” gains accordingly. The history of US Dollar between 2009 and 2019 also support the case of a possible rebound in this year.
The dollar is usually a safe haven during times of crisis like we saw in March.


The bearish engulfing formation that printed last week brings on the prospect of fresh lows in Gold prices, with a focus on the late-November swing around 1764. With the gold miners underperforming gold, and gold underperforming the USDX, it was only a matter of time before the house of cards came crashing down. In that scenario, the bearish engulf highlighted the potential for the start of a pullback but, now five full months later Gold bulls remain subdued.
Think of the parallels between the “gold farming” industry that sprung up in the late 1990s and early 2000s with the Bitcoin mining industry that exists today. While Bitcoin mining is more sophisticated and less labor-intensive than video game gold farming, in-game currencies often had real-world values. Gold prices are starting 2021 on the move, but probably not in the manner that many had expected. Radomski is the author of Sunshine Profits’ Gold & Silver Trading Alerts and many of company’s investment tools.


Natural rubber can gain from the crude oil market which is anticipated to rise in the short term, it added. The production of Palm Oil is down in both Malaysia and Indonesia as plantations in both countries are having trouble getting workers into the fields.

United States

It was also one I studied both pre and post the Trump win of four years ago and one which has delivered consistently over the longer term. Moments ago the US sold $58 billion in 3 Year paper – the largest ever auction in this tenor – and up $2 billion from December’s $56BN. The US 10-year treasury yield has risen to 1.12 per cent recently. Research from our team of in-house analysts has been quoted by The Wall Street Journal, Bloomberg, MarketWatch, USA Today, Kitco, Reuters, US News & World Report, CNBC, and more.
Overall, economic activities are normalising in the US.