Market on February 21: Prices of oil, gold, aluminum, copper, iron ore and rebar all increased

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Oil price up 1%

Oil prices rose more than 1%, boosted by optimism about Chinese demand, continued output curbs by major producing countries and Russia’s plan to curb supplies.

Closing the session on February 20, Brent crude oil increased by 1.07 USD, or 1.3%, to 84.07 USD/barrel. West Texas Intermediate crude rose 85 US cents, or 1.1%, to $77.19 a barrel.

In the previous session, both oils fell $2 a barrel and fell about 4% over the past week after the United States reported high inventories of crude and gasoline.

Analysts expect China’s oil imports in 2023 to hit a record high, to meet growing demand for the fuel and as new refineries come online.

China and India have become major buyers of Russian crude oil, amid Western sanctions on Russian crude and, more recently, sanctions and price ceilings imposed due to the Russia-Ukraine conflict.

India – the world’s third largest oil importer, rose to a 6-month high in January 2023.

In March 2023, Russia plans to cut oil production by 500,000 barrels per day (bpd), or about 5% of output, after the West imposed price ceilings on Russian oil and oil products.

Russia is a member of the OPEC+ group of producers, which includes the Organization of the Petroleum Exporting Countries (OPEC) and its allies, which agreed in October 2022 to cut output by an additional 2 million bpd until October 2022. end of 2023.

Analysts at Goldman Sachs expect future oil supply shortages, which will push oil prices potentially to $100 a barrel by the end of the year.

Gold price increases

Gold prices rose as the dollar eased slightly, as investors awaited upcoming US economic data for clues on the Federal Reserve’s path to rate hikes.

Spot gold on the LBMA rose 0.2 percent to $1,845.93 an ounce, after falling to its lowest level since late December 2022 in the previous session. Gold futures in April 2023 on the New York Stock Exchange rose 0.3% to $1,855.1 per ounce.

Economic data last week showed signs of the US economy recovering and the labor market tightening, fueling speculation the Fed will keep interest rates high for a long time.

The dollar index fell slightly, making greenback-denominated gold cheaper for customers buying in other currencies.

Price aluminum and copper rose

Aluminum prices rose, due to supply concerns following reports that smelters in the top producing country – China – curbed output.

Three-month aluminum prices on the London Exchange rose 3.1% to $2,461 a tonne, after falling 0.3% in the previous session. However, since January 26, 2023, aluminum prices have decreased by 8% after increasing inventories. Aluminum inventories in London increased by 56% in January 2023.

Aluminum output in one of China’s major manufacturing provinces – Yunnan – will decrease after the order to cut.

China’s aluminum output rose 4.5% year-on-year last year to a record high, boosted by new capacity and the easing of restrictions on power supplies.

Copper prices in London rose 1.8 percent to $9,147 a tonne – the highest in more than two weeks.

Price iron ore and rebar increase

Iron ore prices on the Dalian bourse rose for a fourth straight session, as expectations of strong demand in the top steel-producing country – China – supported the market.

Iron ore futures for May 2023 on the Dalian Exchange rose 1% to 894 yuan ($130.35) a tonne, after rising to a high of 898.5 yuan a tonne in early trading.

At the same time, the price of iron ore for March 2023 on the Singapore Exchange increased by 0.2% to 125.8 USD/ton.

On the Shanghai trading floor, rebar price increased by 0.5%, hot rolled coil increased by 0.5%, coil decreased by 0.3% and stainless steel decreased by 0.1%.

Signs of a stabilizing property market in China have supported iron ore prices, after housing prices in the country held steady in January, after falling for the past 16 months, ANZ Research said.

China’s new housing prices increased in January 2023 for the first time in a year, as the zero-Covid policy ended, favorable property policies and market expectations of more stimulus measures were over. drive demand.

Rubber prices in Japan increase

Rubber prices in Japan increased for the second consecutive session, following the trend of rubber prices in the Shanghai market and boosted by a rise in the domestic stock market, along with a rise in crude oil prices also supported the market. school.

The price of rubber for the term of July 2023 on the Osaka floor increased by 0.4 JPY, or 0.2%, to 222.7 JPY (1.66 USD)/kg.

At the same time, the price of rubber in May 2023 on the Shanghai floor increased by 25 CNY to 12,565 CNY (US$1,832)/ton.

The price of rubber for the term of March 2023 on the Singapore Exchange increased by 1.2% to 139.4 US cents/kg.

Coffee price increase

Robusta coffee futures in May 2023 on the London floor increased 0.9 percent to $2,117 per tonne, after hitting a four-month high ($2,124 per tonne) early in the session.

Robusta coffee prices were supported by higher arabica prices, as fears of bad weather dampen production prospects in Brazil and Colombia.

Sugar prices increase

The price of white sugar in May 2023 on the London floor increased by 0.3% to 569.9 USD/ton.

Palm oil prices rose for the third consecutive session

Palm oil prices in Malaysia rose for the third day in a row to a near seven-week high, following the trend of rising vegetable oil prices in China and crude oil on the world market.

Palm oil futures for May 2023 on the Bursa Malaysia exchange rose 32 ringgit, or 0.77%, to 4,163 ringgit ($940.15) a tonne, after gaining 5.11% in the previous two sessions. Palm oil prices rose to their highest levels since January 4, 2023 in early trading.

Prices of some key items in the morning of February 21

Market on February 21: Prices of oil, gold, aluminum, copper, iron ore and rebar simultaneously increased - Photo 1.

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