Stable oil
The oil market stabilized again after a period of sell-off last week as many European countries re-blockade to prevent the Covid-19 epidemic from recurring. The market still expects demand for oil at the end of the year to increase.
At the end of March 22, Brent oil price inched slightly 9 US cents (0.1%) to 64.62 USD / barrel; US West Texas Oil (WTI) April 2021 term fell 13 cents (0.2%) to $ 61.55 / barrel in maturity session; WTI oil futures in May rose 12 US cents (0.2%) to 61.56 USD / barrel. Last week, both types of oil fell more than 6%, ending months of consecutive gains as output fell while demand recovered.
The oil market is still under great pressure due to the European blockade, making investors less hope for a demand recovery in the coming time.
British Prime Minister Boris Johnson on March 22 warned that the third wave of Covid-19 – which had swept across Europe – was affecting Britain. Germany plans to extend the blockade period until May.
Meanwhile, the maintenance season of Chinese refineries is expected to peak in May, then gradually decrease in June, when demand for West African crude – their main source – will decline. shot.
Gold fell due to a rise in Wall Street stocks
Gold price dropped 1% in the last session despite the dollar and US bond yields fell slightly at the end of the session, because US stocks got stronger, reducing the attractiveness of gold.
Specifically, the spot gold price decreased by 0.3% to $ 1,738.93 / ounce; gold futures in April 2021 decreased by 0.2%, down to $ 1,738.1 / ounce.
In the past session, investors have flocked to the US dollar and US government bonds after Turkey replaced the central bank governor, who has always criticized the high interest rates.
“If Turkish citizens are concerned that the lira will depreciate, they will buy USD or gold. However, there is another concern for Turkish traders. It is that the government can take measures.” controlling capital to prevent the inflow of foreign currency in the country. Then, to buy USD in Turkey will be very difficult, and the alternative asset will be gold, “said Madden of CMC.
Iron ore and coal decreased
Iron ore prices on the Dalian floor (China) last session continued to decline, with a decrease of 5.9% to 1,004.5 CNY (US $ 154.35) / ton. Iron ore trading on the Singapore floor also dropped to only 151.1 USD / ton.
The price of coking coal on the Dalian trading floor recently fell 7.3% to CNY 2,131 / ton, while coking coal fell 3.9% to CNY 1,547.50 / ton. The reason is due to market concerns that demand for iron ore and coal will decrease due to the clean environment campaign in the city of Tangshan, which contributes nearly 14% of total steel production in China.
China’s steel industry is responsible for 15% of total greenhouse gas emissions in the country, making the sector a top focus after President Xi Jinping pledged in 2020 to start bringing emissions. China’s carbon decline in the next 10 years. As pledged in its campaign to become a “carbon neutral” place by 2060, China has pledged to cut steel production as early as this year, after an investigation by the Ministry of the Environment revealed some Steel companies have not taken measures to reduce pollution urgently.
The base metal increased simultaneously
Basic metal prices simultaneously increased in the last session. Accordingly, the futures price for copper delivered after 3 months on London floor increased by 0.3% to $ 9,088 / ton, aluminum increased by 0.3% to $ 2,273 / ton, zinc increased by 1.3% to $ US 2,875 / ton, nickel up 0.8% to 16,435 USD / ton, lead increased 1% to 1,978.5 USD / ton and tin increased by 0.9% to 25,900 USD / ton.
Corn fell, soybeans and wheat increased
US corn prices fell during the session on March 22 due to improved weather in South America. At the end of the session on the Chicago floor, the price of maize decreased by 8-3 / 4 US cent to 5.49 USD / bushel.
Argentina has been raining, reducing concerns about the effects of drought on crops. However, despite falling prices, it is still not far from the recent record highs.
Contrary to corn, soybean and wheat prices increased in the past session, but the increase is limited by weather in the US delta as well as the Black Sea region that are favorable for plants to grow.
At the end of the session, soybean prices rose 1-1 / 4 US cent to 14.17-1 / 2 USD / bushel, while wheat increased 1/4% to 6.27-1 / 4 USD / bushel, although there was at only 6.21-1 / 4 USD, the lowest since December 30. Brazil is harvesting wheat so supplies are increasing. Meanwhile, the price of Ukraine’s wheat exports also decreased by about 7 USD / ton in the past week due to the forecast that the country’s wheat production will be improved; Russian wheat prices are also falling.
The lowest raw sugar since January
Raw sugar prices fell for the fourth consecutive session, to the lowest level since January 12 due to negative macroeconomic prospects.
At the end of the session, raw sugar in May decreased 0.23 US cent (1.5%) to 15.53 US cent / lb; before that the price touched 15.51 US cent, the lowest since 12/1.
The bad macroeconomic picture made most agricultural products fall in price. Sugar traders continue to keep a close eye on the production outlook in Central and South Brazil – where sugar cane harvest is expected to slow due to weather factors – drought.
Similar to raw sugar, the price of white sugar in May this session also dropped by 4 USD (0.9%) to 449.4 USD / ton.
Coffee increased
Arabica coffee futures in May increased 1.1 US cent (0.9%) to 1,301 USD / lb, far away from the 1-month low reached last week.
Brazilian coffee consulting firm Pharos said March precipitation in Brazilian Arabica-producing regions was lower than the average of the past three and five years, raising concerns about the country’s coffee output in the country. current service.
Robusta prices this session also increased 18 US cents (1.3%) to 1,398 USD / ton.
Prices of some key items on the morning of March 23
