Oil prices fell 2%
Oil prices fell 2%, on worries about fuel demand prospects due to a strong dollar and subsequent rate hikes by global central banks.
Closing the session on December 15, Brent crude oil fell $1.49, or 1.8 percent, to $81.21 a barrel and West Texas Intermediate crude fell $1.17, or 1.5 percent, to 76. 11 USD/barrel.
“Crude oil prices fell as risks of a global recession increased following a wave of central bank tightening policies,” said Edward Moya, senior market analyst at analytics firm OANDA. “.
US Federal Reserve Chairman Jerome Powell said the US central bank will raise interest rates further next year, even as the economy shrinks and heads towards the possibility of a recession. The Bank of England and the European Central Bank have raised interest rates to combat inflation.
Natural gas prices up 8%
U.S. natural gas prices rose 8% to a two-week high, as inventories fell, gas shipments to liquefied natural gas (LNG) exporters increased and output fell in cold weather from North Dakota to Texas causing the oil and gas wells to freeze.
Natural gas prices rose despite mild weather forecasts and reduced heating demand through the end of December 2022.
The price of natural gas for January 2023 on the New York Stock Exchange increased 54 US cents, or 8.4%, to $6,970/mmBTU – the highest since November 29, 2022. For the whole week, natural gas prices increased by more than 5%.
Year-to-date, natural gas prices are up 84% due to rising global gas prices, supply disruptions and sanctions related to the Russia-Ukraine conflict.
Gas prices are at 42 USD/mmBTU in Europe and 33 USD/mmBTU in Asia.
Gold price lowest in 1 week
Gold prices rallied 2% to a 1-week low, as the dollar rose after the US Federal Reserve said it would raise interest rates more next year.
Spot gold on the LBMA fell 1.6% to $1,777.88 an ounce, after falling to a low of $1,771.89 in early trading. Gold futures for February 2023 on the New York Stock Exchange fell 1.7% to $1,787.8 per ounce.
The price of copper fell
Copper prices fell, as weak Chinese factory data and US Federal Reserve warnings of further interest rate hikes raised concerns about falling demand.
Copper prices on the London floor fell 2.5% to 8,300.5 USD/ton.
Weakened economic growth and rising interest rates dragged copper prices down from a record high of $10,845 per tonne in March 2022 to $6,955 per tonne in July 2022.
China – the world’s largest metal consumer – economy contracted in November 2022, due to a drop in factory output and a sharp drop in retail sales, both of which fell short of forecasts.
Iron ore price highest in 6 months, steel continues to increase
Iron ore prices in Dalian hit a six-month high, while iron ore prices in Singapore surged past $110 a tonne, boosted by a rising demand outlook in top steel producer China.
Iron ore futures for May 2023 on the Dalian Exchange rose 3.2% to 830 CNY ($119.05)/ton, previously reaching 832 CNY/ton – the highest since June 15, 2022 .
At the same time, the price of iron ore for January 2023 on the Singapore Exchange increased by 2.7% to 111.55 USD/ton.
On the Shanghai floor, the price of rebar rose 3.3%, hot rolled coil increased 2.7%, coil increased 2% and stainless steel increased 0.2%.
China’s steel output in November 2022 fell 6.5% month-on-month, as some steel producers cut output to limit losses amid persistent weak demand.
Rubber prices in Japan fell
Rubber prices in Japan fell, following the trend of rubber prices in the Shanghai market, due to concerns about weakening demand in the top buying country – China – amid increasing Covid-19 cases. and signs of recession.
The price of rubber for May contract in May 2023 on the Osaka floor decreased by 1.7 JPY, or 0.7%, to 230.1 JPY (1.7 USD)/kg.
At the same time, the price of rubber in January 2023 on the Shanghai floor decreased by 120 CNY to 13,020 CNY (US$1,870)/ton.
The price of rubber in January 2023 on the Singapore Exchange fell 1.5% to 137 US cents/kg.
Coffee prices simultaneously increased in Vietnam, New York and London, unchanged in Indonesia
Vietnam’s coffee market trades quietly, in the context of tight supply when coffee beans are still in the process of drying, while Indonesia is nearing the end of the harvest.
The price of Vietnam’s export robusta coffee (2.5% black & broken) is offered at a discount of 80-90 USD/ton compared to the May 2023 futures contract on the London Stock Exchange and compared with the deduction level. 70-80 USD/ton 1 week before. In the domestic market, green coffee beans are sold for 40,000-41,700 VND (1.7-1.77 USD)/kg, a slight change from 40,100-42,000 VND/kg a week earlier.
In the first 11 months of 2022, Vietnam exported 1.58 million tons of coffee, up 12.9% over the same period last year, with a total export turnover of $3.6 billion.
In Indonesia, the price of Robusta coffee grade 4 (80 defective beans) offered for sale at an additional 100 USD/ton compared to the January 2023 futures contract, unchanged from a week ago.
In New York, the price of arabica coffee in March 2023 increased by 3.6 US cents, or 2.1%, to $1,7175/lb.
In London, the price of Robusta coffee in March 2023 increased by 1 USD, or 0.1%, to 1,878 USD/ton.
The highest price of raw sugar in nearly 6 years
The price of raw sugar on the ICE floor hit a nearly 6-year high, due to a decrease in supply from the No. 2 exporter – India.
The price of raw sugar for March 2023 on ICE fell 0.31 US cents, or 1.5%, to 19.98 US cents/lb, after hitting the highest level since February 2017 (20.73 US dollars). cents/lb) in the beginning of the session.
At the same time, the price of white sugar in March 2023 on the London floor decreased by 9.8 USD, or 1.8%, to 545 USD/ton.
Corn and wheat prices rise, soybeans fall
Soybean prices on the Chicago Mercantile Exchange fell, on concerns that a stronger dollar and a weakening global economy could slow exports.
Wheat prices rose on profitable buying, after prices fell for eight of the previous 10 sessions and corn prices rose.
On the Chicago Mercantile Exchange, soybean futures for January 2023 fell 8-3/4 US cents to 14.73-1/2 USD/bushel. The price of soft red wheat, the winter crop term in March 2023 increased 8 US cents to 7.57-1/4 USD/bushel and the price of corn for delivery in the same term increased 3 US cents to 6.53-1/2 USD/ bushel.
Rice prices increase in Vietnam and Thailand, unchanged in India
Vietnam’s export rice prices rose to their highest levels since July 2021, as new supply met increased demand, while rising Japanese interest rates supported the Thai market.
For the 5% broken grade, the price of Vietnamese rice is at $448-453/ton, slightly up from $445-450/ton a week earlier.
In Thailand, the price of 5% broken rice increased to $425-457/ton, compared with $444/ton a week ago.
In India – the leading rice exporter, the price of 5% broken rice was at $373-378 per ton, unchanged from a week ago.
Palm oil prices fall
Palm oil prices in Malaysia fell, after two consecutive gains, as a drop in exports in the first half of December 2022 and weakness in other vegetable oils put pressure on prices.
Palm oil futures February 2023 on the Bursa Malaysia exchange fell 1.92% to 3,874 ringgit ($877.46)/ton.
Palm oil prices rose more than 5% in the previous two consecutive sessions, following data showing that Malaysia’s palm oil inventories fell for the first time in six months.
Prices of some key items in the morning of December 16
