Open: New York Session | Forex, Metals, Oil, Agriculture March 02, 2021



Australian wheat output is on course to hit a record 33.34 million tonnes this year after La Nina soaked the east coast. The expected production will help Egypt to approach self-sufficiency of sugar this year, Mostafa Abdel Gawad, head of the ministry’s sugar crops council added. Russia doubled its wheat export tax to 50 euros ($60) per tonne from Monday in an attempt to curb high food price inflation amid the coronavirus pandemic. Farmers across the country, the world’s top cocoa producer, told Reuters on Monday that medium and large-sized pods were ripening on the trees and that harvesting would start soon.
In Russia, consumers are paying for sugar than a year ago.


In early trading, euro crosses came under pressure from the Australian dollar, the New Zealand dollar, the Canadian dollar and sterling. In this case, , as rich multiples on earnings would seem less attractive, while the dollar would become more appealing with higher Treasury yields. less The rupee appreciated by 24 paise to 73.31 against the US dollar in opening trade on Tuesday supported by positive domestic equities amid improving risk appetite. MARKET NEWS Gold prices slumped to their lowest in 8-1/2 months, as a stronger dollar and elevated U.S. Treasury yields eroded investor appetite for the non-yielding metal.
When the euro corrected against sterling to 0.8661, the euro stopped weakening against the dollar. “The US dollar extended gains on Tuesday on bets of a faster economic recovery and could cap appreciation bias,” Reliance Securities said in a research note. Gold prices fell amid better-than-expected US ISM manufacturing data and strength in the dollar index.
Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, rose 0.18 per cent to 91.20. The aussie saw the steepest gains against the US dollar as the RBA spent double the usual amount on long-dated bonds in a regular operation. The Swiss franc, the euro and the British pound depreciated 0.3% against the U.S. dollar.


As we have said on several occasions, there is no correlation between gold and interest rates (see Gold And Interest Rates – There Is No Correlation). To know more about gold, check out our article on how to invest in gold here: How to Invest in Gold? The two-decade-long periods provide contradictory results for the argument that lower interest rates are correlated to higher gold prices. Both gold and WTI crude oil prices started off the new week on a sour note, falling 0.47% and 2.17% respectively.
Copper prices fell for a third straight session, as signs of weakening demand in top consumer China weighed on a recent rally that boosted prices to multi-year highs. Tracking a muted trend seen in international spot prices, India Gold MCX April futures edged lower today. Freeport CEO Richard Adkerson told Reuters last week that he has no desire to combine Freeport with Barrick or another gold producer, saying such a deal didn’t make sense. However, during the years 2000-2011, while the price of gold rose from $250 to $1900, interest rates on the 10-year US Treasury bond dropped from 6% to 2%.
S&P 500 futures pointed to a lower open, the 10-year Treasury yield was at 1.448%, oil slipped and gold was slightly higher. less The price of gold early Friday morning this past week touched $1720.


Brent crude futures, the global oil benchmark, slipped 1.13 per cent to $62.97 per barrel. The consortium of OIL and Engineers India Ltd is likely to acquire 49 per cent and the rest 13.65 per cent will be sold to the government of Assam. Crude oil prices are weakening ahead of this week’s OPEC+ Joint Ministerial Monitoring Committee meeting on March 3rd. This is placing crude oil prices under pressure as the commodity remains at risk ahead of the OPEC+ meeting.
Oil demand still has not fully recovered, with jet fuel demand not expected to recover until 2022 or even 2023. Unlike the oil and gas giants, they also have renewable supply-chain expertise and experience in permitting, transmission infrastructure and regulated power markets.
A consortium of Oil India Ltd, Engineers India Ltd, and the government of Assam expressed interest in buying the stake and the BPCL board on Monday approved the sale. A consortium of Oil India, Engineers India, and the Government of Assam expressed interest in buying the stake and the BPCL board on Monday approved the sale. BPCL said it will exit Numaligarh refinery in Assam by selling its entire stake to a consortium of Oil India Ltd and Engineers India Ltd for ₹ 9,876 crore.
The declining negative contribution of the oil price took headline inflation kept headline inflation unchanged at 0.9% in February despite the drop in core.

United States

Meanwhile, Richmond Fed President Thomas Barkin expressed his calm about rising bond yields, reinforcing the notion that the central bank remains to be worried about them. It’s like a game of rock, paper, scissors in which if Congress shows rock, the Fed shows paper. Nasdaq Futures are trading down 43 points (down 0.3%) while Dow Futures are trading down by 90 points (down 0.3%) The rupee is trading at 73.37 against the US$. Bank of America has also put out a warning about Wall Street bullishness, saying its measure of sentiment is near a level that has historically been bearish for stocks.
Unlike larger banks, they don’t have big Wall Street operations, so higher rates and stronger economic growth are more important to them. as markets await another speech by Powell – his last public appearance before the Fed’s “blackout period” leading to its rate decision. less The CNBC commentary, from a long-time NYSE trader, is “investors worried Fed has lost control of rates…markets” as rates rise.
There has been a well-worn misperception that the Fed controls rates and stock markets with many decades of history. While the Fed has continuously reaffirmed its stance of overly accommodative policy, the bond market isn’t buying it. Share Updated March 2, 2021 3:50 am ET U.S. stock futures slipped and global indexes wavered a day after Wall Street logged its best day since June.


It was founded in 1998 with roots in Hebei, the province surrounding Beijing, with a focus was on building industrial parks for local authorities. Global Headlines Tech revolution | As Joe Biden expresses concern about supply chains of computer chips, Xi Jinping is equally worried.


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. The ECB will publish its new staff projections next week. less Denmark and Austria is seeking to curb supply bottlenecks and EU supply-dependency by partnering Israel. Novavax could be authorized for use in the UK and US in May, and the EU ‘close’ to closing a 200m doses deal. Currently, the EU holds no contract with Novavax, but has been reported as being ‘close’ to a deal since late December.
German Chancellor Angela Merkel was among those to congratulate Mikhail Gorbachev on his 90th birthday today. Uncertainty about goods prices What will be the ECB’s take-away? Main focus: Europe, Eurozone, Germany and ECB. They are followed by Turkey, Germany, the EU, Italy, and France.