Agriculture
They cut their long position in arabica coffee futures by 5,841 contracts to a total long bet of 9,648 contracts, the CFTC said. In October, high demand from importers and worries over delay in winter wheat sowing pushed Ukraine’s milling wheat export prices to the highest in two seasons. Biggest reductions were seen in WTI crude oil, natural gas and live cattle while most of the buying was concentrated in corn, soybean oil and sugar. MARKET NEWS Chicago corn futures slid 1%, as lower oil consumption amid coronavirus lockdowns raised concerns over demand for the grain-based fuel ethanol.
With demand already weak, cold weather ahead, and corn prices moving higher, I see earnings pressure ahead.
With demand already weak, cold weather ahead, and corn prices moving higher, I see earnings pressure ahead.
Currencies
However, history and data show that the euro has, broadly speaking, performed well since its inception (in spite of euro skepticism). While CHF remains strong as a EUR alternative and (even global) safe haven, the euro serves as a safe haven of sorts to currencies such as the lira. The collapse of global interest rates this year has helped position the euro as an alternative to the U.S. dollar. The latter also tends to create oil price weakness too, and it has recently, yet the euro area itself is a net importer of crude oil products.
As shown, the euro has spiked recently, yet since the inception of the common currency, it seems to have performed quite well. Notice that the euro has, on an exchange rate basis, is still below its weighted fair value (as implied by PPP, which is based on relative trade factors). Indeed, only two currencies (in the set of ten currencies) have strengthened against the euro since the year 2000. Most recently, the euro has conceded some of its strength, including against alternative safe havens such as the Japanese yen (see below).
In the new regime of effectively zero interest rates (based on the short-term targets of G10 central banks, at least), the euro still offers the potential for appreciation. The euro could continue to consolidate higher, and not just against high-risk currencies such as the lira.
As shown, the euro has spiked recently, yet since the inception of the common currency, it seems to have performed quite well. Notice that the euro has, on an exchange rate basis, is still below its weighted fair value (as implied by PPP, which is based on relative trade factors). Indeed, only two currencies (in the set of ten currencies) have strengthened against the euro since the year 2000. Most recently, the euro has conceded some of its strength, including against alternative safe havens such as the Japanese yen (see below).
In the new regime of effectively zero interest rates (based on the short-term targets of G10 central banks, at least), the euro still offers the potential for appreciation. The euro could continue to consolidate higher, and not just against high-risk currencies such as the lira.
Metals
They included 13.47 g/t gold over 24.15 meters, 15.75 g/t gold over 4.5 meters or 9.91 g/t gold over 4.25 meters. The current reserves contain 1.171 million toz gold and 3.916 million toz silver, with gold grades of 5.89 g/t and silver grades of 19.72 g/t. At present, the most recent gold futures curve is implying that investors in gold futures are losing about 1.5-2% per year. The best results included 20.06 g/t gold over 3.23 meters, or 9.21 g/t gold over 6 meters.
This batch of results included 20.62 g/t gold over 4.1 meters or 54.6 g/t gold over 2.05 meters. Within the gold space, GLD is essentially the king gold ETF. Source: Ascot Resources Over the 8-year mine life, the mine should be able to produce 132,000 toz gold and 370,000 toz silver per year on average. However, the measured, indicated, and inferred resources contain 3.1 million toz gold and 11.61 million toz silver and the current drill campaign keeps on delivering great results.
In global markets, gold prices edged higher today amid volatile trade as investors remained cautious ahead of the US presidential election and a Federal Reserve policy meeting. To understand the concept of roll yield: for argument’s sake, let’s say that gold prices were to be unchanged for several months.
This batch of results included 20.62 g/t gold over 4.1 meters or 54.6 g/t gold over 2.05 meters. Within the gold space, GLD is essentially the king gold ETF. Source: Ascot Resources Over the 8-year mine life, the mine should be able to produce 132,000 toz gold and 370,000 toz silver per year on average. However, the measured, indicated, and inferred resources contain 3.1 million toz gold and 11.61 million toz silver and the current drill campaign keeps on delivering great results.
In global markets, gold prices edged higher today amid volatile trade as investors remained cautious ahead of the US presidential election and a Federal Reserve policy meeting. To understand the concept of roll yield: for argument’s sake, let’s say that gold prices were to be unchanged for several months.
Oil
Saudi seaborne crude exports for last week were seen at 44.1 million bbl (6.3 million bpd) compared to the 46.7 million bbl (6.7 million bpd) the week prior. While recent pressure on equity markets could be easing, oil prices slid on lingering worries that international lockdowns will sap energy demand. These latest developments are likely to keep oil under pressure with the recovery in global oil demand being postponed indefinitely. Daniel Gerard, senior multi-asset strategist at State Street Global Markets, said in addition to lower demand, oil prices could suffer further due to pent-up supply.
This year TORM sold eight tankers, perfectly timing the sale of the seven when the prices hiked in the Q1 when the oil prices dropped.
Most of the profit increase in the second half was due to extreme circumstances caused by the sudden drop in oil prices, which are not likely to happen again. Crude oil punched to new lows since May, although the mood to start the week in Asian markets was rather upbeat. Malaysian palm oil futures fell nearly 2% to its lowest in over a week, amid caution about the U.S presidential election and as key market Europe widens coronavirus-driven lockdowns.
*Source: Q2 Earnings Presentation Oil prices plummeted as demand sharply decreased with COVID-19. Although the company is doing a good job entering new markets it is still highly leveraged to the oil and gas space.
This year TORM sold eight tankers, perfectly timing the sale of the seven when the prices hiked in the Q1 when the oil prices dropped.
Most of the profit increase in the second half was due to extreme circumstances caused by the sudden drop in oil prices, which are not likely to happen again. Crude oil punched to new lows since May, although the mood to start the week in Asian markets was rather upbeat. Malaysian palm oil futures fell nearly 2% to its lowest in over a week, amid caution about the U.S presidential election and as key market Europe widens coronavirus-driven lockdowns.
*Source: Q2 Earnings Presentation Oil prices plummeted as demand sharply decreased with COVID-19. Although the company is doing a good job entering new markets it is still highly leveraged to the oil and gas space.
United States
However, the outcome of the US presidential election on Tuesday 3 November is likely to set the tone for market movements this month. Some on Wall Street believe the sell-off leading up to Election Day gives the market less downside risk to a contested result. As I have been noting in past (VideoCasts) and (Podcasts), President Trump’s poll numbers haven’t been this bad since: That does not mean bad polls = good election results. The US rig count (RIG-OL-USA-BHI) increased for the sixth consecutive week with last week s count reported to have increased by 10 units.
Since Republicans are more likely to vote in-person, support for Trump may surge on election day, potentially throwing investors off balance. What we do know is that the US election is clearly going to be a gamechanger, even at the base level of being the event that precedes the stimulus. Fires Up All Government War on Election Cyber Threats Trump Perks for Weisselbergs Included Free Rent, Tax PreparerDon t miss the biggest election headlines as they happen.
We’re looking at a resurgence in coronavirus cases, tomorrow’s US election, central bank decisions from the RBA, Fed and BOE, and the US jobs report. A look at the steepening US yield curve and the drivers there and thoughts on the USD and AUD ahead of the US election and RBA meeting. Upbeat data from China is at least offering some support to market sentiment ahead of manufacturing PMI data from Europe and the US.
Since Republicans are more likely to vote in-person, support for Trump may surge on election day, potentially throwing investors off balance. What we do know is that the US election is clearly going to be a gamechanger, even at the base level of being the event that precedes the stimulus. Fires Up All Government War on Election Cyber Threats Trump Perks for Weisselbergs Included Free Rent, Tax PreparerDon t miss the biggest election headlines as they happen.
We’re looking at a resurgence in coronavirus cases, tomorrow’s US election, central bank decisions from the RBA, Fed and BOE, and the US jobs report. A look at the steepening US yield curve and the drivers there and thoughts on the USD and AUD ahead of the US election and RBA meeting. Upbeat data from China is at least offering some support to market sentiment ahead of manufacturing PMI data from Europe and the US.
Europe
Trade talks between the EU and UK will continue today with media reports suggesting that the two sides are moving closer to a deal on fisheries. So after decades of leading Turkey by the nose, EU politely put an end to the charade citing problems with Turkey’s democracy. Central banks Japan, Canada, and some European Union countries are teaming up to study the prospects of launching digital currencies in their respective countries. The FTSE is a notable laggard versus its European peers after Boris Johnson’s spectacular U-turn ordering another national lockdown from Thursday.
Nevertheless, Christine Lagarde, President of the European Central Bank, signaled in last week’s rate decision. (I concede that these weights are for EU-27 trade rather than EU-19, but they are fair to use for our purposes.) Holzmann says green bonds don’t need more ECB support. But from Turkey’s perspective, getting a cold shoulder from the EU is par for the course. Macron had further said – the latest being the shooting of a Greek Orthodox priest in Lyon who was left with life-threatening injuries.
Like Ukraine, Turkey was not seeking EU membership because of some mythical “shared values”.
0 Nevertheless, Christine Lagarde, President of the European Central Bank, signaled in last week’s rate decision. (I concede that these weights are for EU-27 trade rather than EU-19, but they are fair to use for our purposes.) Holzmann says green bonds don’t need more ECB support. But from Turkey’s perspective, getting a cold shoulder from the EU is par for the course. Macron had further said – the latest being the shooting of a Greek Orthodox priest in Lyon who was left with life-threatening injuries.
Like Ukraine, Turkey was not seeking EU membership because of some mythical “shared values”.
