Open: New York Session | Forex, Metals, Oil, Agriculture August 27, 2020

A member of the National Guard plays a trumpet during a flag rai


Robusta coffee futures on ICE rose to an eight-month high on Wednesday, buoyed by resilient demand and declining exchange stocks, while sugar and cocoa prices fell. Sugar prices at the Vashi wholesale market ruled unchanged on Thursday except ₹10 rise in S-grade on the lower side. Torrential autumn rain hampered sowings and spring drought has reduced soft wheat yields this season. “We have to wake up and smell the coffee.


Gene comments on stock, bond, dollar, oil & gold markets, with a particular emphasis on monetary policy, technology issues and S&P intraday action. Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, fell 0.15 per cent to 92.87. With Jerome Powell speaking during the trading session on Thursday, it is likely that we will get a bit of a move in the US dollar given enough time. Now, excluding fuel, the operating margins again show that Southwest has the best track record of earning the most on each dollar of revenue.
The blue line goes a step further and adjusts for inflation based on the Producer Price Index for All Commodities, chained in today’s dollar value. What the operating margins show is that Southwest has the best track record for earning most on each dollar of revenue. The government argues that disclosing dollar figures for individual firms would hurt their business and such details should be exempt from the Freedom of Information Act.
U.S. futures dipped, the dollar fluctuated, trading in most G-10 currencies was muted and Treasuries rose. As long as the dollar is weak, the rupee bulls are at an advantage. Nevertheless, the dollar weakness gives, and upper hand for the rupee.


With the Seabee gold mine ramping production each year, it has also allowed Saskatchewan to break gold production records each year. Currently, the Seabee gold mine is the only producing gold mine in the province. Gold prices eased today tracking a muted trend in the international spot gold prices as investors waited for Federal Reserve Chairman Jerome Powell’s address later in the day. Saskatchewan has a strong, producing gold mine in the Seabee gold mine.
Source: Comstock Metals presentation The project contains 158,300 indicated gold ounces and 270,800 inferred gold ounces as of September 2016. During Saskatchewan’s history of gold production, it seems that most gold mines open for a few years only to close a couple of years later. The project contains the Amisk Gold Deposit with the past-producing Monarch Gold Mine. Taiga Gold is the owner of multiple projects in Saskatchewan, which mostly exist in the Seabee Gold Camp. For the mine to be producing near 120,000 ounces of gold per year, suggests that their $90 million investment that they’ve been making since 2017 has paid off.
Even with the recent volatility in prices, gold and silver remain among the best-performing commodities this year to combat the fallout from the coronavirus pandemic.


At the beginning of 2020, U.S. oil production was even higher at 12.9 million BPD, so oil production just this year is down by 2.2 million BPD (17%). US crude oil inventories for the week ended Aug 21 fell by 4.7 million bbl according to the US EIA to 507.8 million bbl, the lowest since April. The global Covid-19 pandemic led to an abysmal second quarter for the earnings of U.S. oil companies, but oil prices themselves staged a recovery during the quarter. less Yesterday, the oil markets closed mixed after the markets confirmed an important drop in crude oil inventories.
(OIL, uGA) West Texas Intermediate crude oil futures gained 0.09 percent during the session, closing at the 43.39 level. Production cuts by major oil exporters helped offset a stuttering recovery in oil demand. The most recent U.S. oil production numbers reported by the Energy Information Administration were 10.7 million barrels per day (BPD) for the week ending 8/14/20. The Chinese company aims to process 7.68 million tonnes of crude oil in July-December, equivalent to 304,700 barrels per day, a company official said at a briefing on Thursday.
INSIGHT Crude oil or cooking oil?
But major oil producers like ConocoPhillips and EOG Resources are still respectively down 42% and 49% year-to-date, a significant under-performance when measured against the oil price decline.

United States

Historically, the global bond market has generated higher return with less volatility than the US bond market. Between January 1987 and July 2020, the US bond market and hedged global bond market both averaged very low correlations to the S&P 500, at 0.09 and 0.05, respectively. Fed officials have already signaled they are ready to adopt a new approach of making up for periods of low inflation by seeking subsequent periods of higher inflation. Here’s the thing: if the market really believes the Fed is required in order to keep rates low, then the bond rout!!!!
The global bond universe is much larger and more diverse than the US bond market. In other words, global bonds have historically provided attractive up/down capture ratios versus the US bond market (Display 1). It’s weird, but talking about higher inflation is the Fed’s way of aiming for a stronger labor market. Signs of Fed willingness to let inflation overshoot its longstanding 2% target may also be feeding these perceptions.
Similar inflation fears arose in the aftermath of the GFC, when the Fed’s quantitative-easing (QE) initiatives also drove sharp gains in money supply growth. Trump’s first order, signed on Aug. 6, outlaws business transactions between American citizens and ByteDance, a move that the Trump administration says arose out of concern for national security.


Futures for U.S. stocks indexes dipped over rising tensions between Washington and Beijing.


Of those who thought the pandemic was handled badly, 70 per cent blamed the government and 65 per cent blamed Boris Johnson. EU trade commissioner Phil Hogan is stepping down amid growing criticism that he broke COVID-19 guidelines in his native Ireland. Turning to Euribor fixings, the 3-month Euribor (an unsecured rate) has failed to drop below the ECB deposit rate (risk-free). We’ve even tried to email our MPs, but clearly our words mean nothing to Boris Johnson,” he continued.
According to Declassified U.K., the British soldier, who was identified as Ahmed Al-Babti, said: Saudi Arabia’s Crown Prince Mohammad bin Salman with Boris Johnson. Despite a non-EU base, it could be a worthy contender. First, we do not expect the ECB to cut its deposit rate. True, excess liquidity will increase due to the ECB’s asset purchases. In the recurring charades between the West and Russia, in particular Angela Merkel and Putin, getting away with it is the point.
Vladimir Putin wants to be feared, not believed or trusted, which is why Germany and the EU are so ineffective against him, writes Andreas Kluth for Bloomberg Opinion.