Oil rose 2% to the highest level in more than a year
Oil prices rose 2% to the highest level in more than a year because major producing countries cut supplies and investors hoped for a huge stimulus package of the US economy.
At the close of the session, Brent oil price increased by 1.22 USD (2.1%) to 60.56 USD / barrel; West Texas American oil (WTI) rose $ 1.12 (2%) to $ 57.97 / barrel. Both types of oil reached their highest level since January 2020.
Rystad Energy Vice President Paola Rodriguez Masiu said: “The return of oil prices to 60 USD shows that the oil market is finally recovering.”
Saudi Arabia voluntarily cut further supplies in February and March 2021, in addition to the reduction committed to OPEC +.
OCBC economist Howie Lee said the world’s top exporter Saudi Arabia last week showed “very optimistic signals” by keeping monthly crude prices sold to Asian customers at zero. change, different from analysts’ prediction, a slight cut.
Investors are watching the US government’s $ 1.9 trillion USD COVID-19 bailout package, which is expected to be approved for implementation within this month.
Gold rose more than 1% due to the expectation of a giant US stimulus package
Gold prices also increased by more than 1% in the past session due to the hope in the stimulus package of the US Government – which will make gold attractive in the eyes of investors as an inflation prevention tool.
Accordingly, the spot gold price increased by 1.1% to 1,831.28 USD / ounce, while the gold futures in April 2021 increased by 1.2% to 1,834.20 USD.
US President Joe Biden and his Democratic allies in Congress over the past few days have taken procedural steps to speed up the passage of President Joe Biden’s $ 1,900 billion economic rescue package. They prepare a resolution to adjust the budget so that when needed, it can be passed with a majority of votes in Congress in case the Republicans refuse to support (Democrats are holding bicameral). US Treasury Secretary Janet Yellen said on February 7 that the US labor market will fully recover next year if the US Congress approves this economic stimulus package, which will push up gold prices because The economic stimulus package will push inflation up.
Tai Wong, head of BMO’s primary and precious metal derivatives trading, said: “Ms. Yellen said that the US labor market will fully recover by 2022 and the economic stimulus package is close to 2,000. billion USD will probably lead to increased inflation – which will benefit gold “.
Copper increased due to reduced real supplies
The copper price increased in the last session due to the decrease in the amount of copper stored on the London floor in the context of optimistic investors about the economic stimulus package of 1.9 trillion USD of the US Government.
At the end of this session, copper price futures for 3 months delivery on the London floor rose 1.9% to $ 8,062 / ton.
The amount of copper in the London Stock Exchange (LME) and the Shanghai Stock Exchange (ShFE) is currently at the lowest level in many years, although the Lunar New Year is coming, when demand is often low in the consumer market. leading the world – China.
Corn returned to a 7.5-year high, soybeans and wheat also rose
US corn prices have rebounded to the highest level in seven and a half years due to strong buying volume before the US Department of Agriculture (USDA) released its official monthly report on the forecast of world grain supply and demand.
Soybean and wheat prices also increased for the same reason.
Unfavorable weather in major US support growing areas along with the USD weakening amid rising crude oil prices and stocks also contributed to support cereal prices increasing in this session.
Accordingly, the price of maize futures in March on the Chicago floor increased by 15-1 / 4 US cents to 5.63-3 / 4 / bushel at the end of the session, after reaching 5.65-3 / 4 USD, the level highest since June 28, 2013.
Similarly, soybean and wheat prices for the same period also increased by 21 US cents and 14-1 / 2 US cents to 13.87-3 / 4 USD / bushel and 6.55-3 / 4 USD / bushel. .
White sugar is the highest for nearly 4 years
The price of white sugar once increased to the highest level in nearly 4 years due to tight spot supply and strong buying demand.
At the end of the last session, the price of white sugar in March 2021 decreased by 2.80 USD, equivalent to 0.6%, down to 472.00 USD / ton, after reaching 479.70 USD / ton, at the highest rate. as of April 2017.
The real supply of goods is in short supply due to the shortage of containers, pushing the March contract price higher than the May term.
For raw sugar, contract price in March futures decreased 0.8% to 16.27 US cent / lb.
Coffee drops
The price of arabica coffee futures in March in the last session decreased by 0.4%, equivalent to 0.3%, to USSD 1,241 / lb due to the increase in the amount of coffee in the commercial stocks, but the weather is forecast. disadvantages in Brazil have prevented prices from plummeting.
Meanwhile, Robusta coffee futures in March also decreased by 3 USD, equivalent to 0.2%, to 1,356 USD / ton.
Iron ore rose
Iron ore prices in China rose in the past session, the 3rd consecutive increase session, due to a positive outlook on demand for raw materials for steel production in the world’s leading steel producing country. However, steel transactions are thinning as China begins to step into the Lunar New Year holiday, which lasts for 1 week.
On the Dalian floor, iron ore futures in May – the most traded – rose 2.9% to 1,028 CNY ($ 159.21) / ton, after hitting 1,033 CNY – the highest since 28 / first.
On the Singapore floor, iron ore term in March – the most traded on this floor – increased by 2.8% to $ 155.15 / ton.
China’s demand for iron ore remains strong despite its low demand due to seasonal factors.
The rubber hit “peak” for 3 weeks
Rubber prices in Japan reached the highest level in 3 weeks, extending the chain of price increases for 3 consecutive sessions, due to the hope in the new stimulus package of the US economy and the increase in oil prices, increasing the sentiment of risky goods. risks of investors.
This session, July rubber on Osaka floor increased 3.7 JPY (1.5%) to 243.2 JPY (2.3 USD) / kg at the close. During the session, the price reached 244.5 JPY, the highest level since 18/1.
Prices of some key items on the morning of February 9
