LONDON, Sept 23: World oil prices registered fresh falls this week on fading global supply concerns and rising US heating fuel stocks, while metal prices were buoyed by a weak US dollar.
On Friday, the Commodities Research Bureau's index of 17 commodities tumbled to 304.10 points, compared with 305.10 points the previous week. On Thursday it touched 300.31 points -- the lowest level for 14 months.
GOLD: Gold prices rose towards the end of the week as oil prices clawed back limited ground, and as the US dollar weakened.
Gold and the other precious metals continued to build on recent support levels ... as pressure on the dollar and modest gains in the oil market kept fund offers at bay, said James Moore, an analyst for specialist website TheBullionDesk.com.
A weaker dollar decreases the cost of gold for buyers paying in other currencies, increasing demand for the precious metal.
Gold reached a one-week high of $592.70 per ounce on Friday.
Prices had struck $730.40 per ounce on May 12 -- the highest point for 26 years -- before plunging 26 per cent in one month to reach $542.45 s on June 14.
On the London Bullion Market, gold prices rose to $589 per ounce at Friday's late fixing, from $573.60 a week earlier.
SILVER: Silver prices won back ground after slumping by 13.5 per cent the previous week.
Silver continued to straddle the $11 level but finished towards the top of its recent range following the dollar led gains in gold and price gains in aluminium and zinc, Moore added.
On the London Bullion Market, silver prices leapt to $11.28 per ounce at Friday's fixing, from $10.70 the previous week.
BASE METALS: Base metal prices mainly rose.
“Base metals made late gains on the back of a weaker dollar and a rebound in oil and gold,” said UBS analyst Robin Bhar.
Low stocks and the potential for supply disruptions is still seen supporting sentiment with consumer/investor buying being noted into price dips. On Friday, three-month copper prices climbed to $7,637 per ton on the London Metal Exchange from $7,477 the previous week.
Three-month aluminium prices gained to $2,535.50 per ton from $2,464.
Three-month nickel prices fell to $28,200 per ton from $28,970.
Three-month lead prices soared to $1,388 per ton from $1,310.
Three-month zinc prices advanced to $3,455 per ton from $,296.
Three-month tin prices stood at $,000 per ton from $,045.
OIL: Crude futures continued their downwards trajectory this week, sinking to fresh six-month lows, with New York crude ducking beneath 60 dollars.
Prices have slumped on fading supply worries, easing tensions over Iran, a mild Atlantic hurricane season and oil cartel Opec pledge to maintain output, analysts said.
On Wednesday, the market was also calmed by a surge in heating fuel stockpiles in major energy consumer the US.
New York crude had hit $59.80 on Wednesday -- last seen March 21 -- marking a 24 per cent plunge from its record high $78.40 which was struck last July.
London Brent fell as low as $60.31 on Wednesday -- a level last hit on March 9.
The price of crude oil has now fallen by around 20 per cent since striking record highs earlier this year.
However, prices found limited support towards the end of the week after reaching the $60 mark.
Although technical picture looks positive, there is at the moment little bullish fundamental data to support it as the supply and geopolitical situation continue to remain less of a concern, said Sucden analyst Michael Davies.
Losses were capped also by speculation that Opec could step in and cut supplies if prices fall too heavily.
At about 1615 GMT on Friday in New York, a barrel of crude for delivery in November plunged to $61.10 per barrel from $64.02 the previous week.
In London, a barrel of Brent North Sea crude for delivery in November sank to $61.20 per barrel, from $62.63.
RUBBER: Rubber prices fell in the wake of a bloodless military coup in Thailand -- the biggest producer of the commodity in the world.
Thai armed forces staged a coup that ousted Prime Minister Thaksin Shinawatra from power late Tuesday. Coup leader General Sonthi Boonyaratglin suspended the constitution, abolished the cabinet and imposed martial law.
COCOA: Cocoa prices rebounded as speculative funds ploughed into the market.
Cocoa surged higher, reaching a five-week high on the back of short covering by funds, Davies said.
On the New York Board of Trade (NYBOT), the December contract increased to $1,502 per ton on Friday, from $1,476 a week earlier.
COFFEE: Prices were mixed as speculator activity also dominated trade.
The market remains fundamentally strong because of tight supply and many expect prices to increase further in coming weeks, said Davies.
Robusta quality coffee sank under $1,500 per ton this week, after striking $1,618 per ton a week on September 5. That was the highest point for more than seven years.
On LIFFE, Robusta quality for November delivery fell to $1,461 per ton on Friday, from $1,528 a week earlier.
On NYBOT, Arabica for December delivery rose to 103.75 US cents per pound on Friday, from 102.15 cents.
SUGAR: Sugar prices retreated this week owing partly to weaker oil prices and speculation over bumper harvests.
“Talk of a large Pakistani and Indian sugar output weighed heavily,” noted Davies.Weak crude futures have also dampened the market because sugar cane is used in the manufacture of ethanol, a cheaper alternative to gasoline, which is refined from crude oil.
By Friday on LIFFE, the price of a ton of white sugar for December delivery fell to $385.80, from $409.70 a week earlier.
On NYBOT, the price of unrefined sugar for October delivery slid to 11.25 US cents per pound, from 12.44 cents.
GRAINS AND SOYA: Maize and soya prices mostly increased, finding support in stronger-than-expected US export data.
On the Chicago Board of Trade, the price of wheat for December delivery rose to US$4.19 per bushel on Friday, from $3.96 a week earlier.
Maize for December delivery rose to $2.56 per bushel on Friday, from $2.40.
November-dated soyabean meal -- used in animal feed -- stood at $5.53, unchanged from the previous week.
On the LIFFE, the price of a ton of wheat for November delivery rose to 87.75 pounds on Friday, from 85.50 pounds.
COTTON: Prices unwound somewhat as traders feared a slowdown in demand from China, which is the biggest cotton consumer in the world.
On the NYBOT, the December contract fell to 51.70 US cents per pound on Friday, from 52.50 US cents a week earlier.
The Cotton Outlook Index of physical cotton stood at 58.85 US cents on Thursday, unchanged from the previous week.
WOOL: Wool prices steadied.
Chinese buyers and clothing manufacturers were dominant, according to the Australian Wool Industries Secretariat.
The Australian Eastern index eased to 7.52 Australian dollars per kilo on Thursday, from 7.53 the previous week.
The British Wooltops index stood at 399 pence on Thursday, from 403 pence the previous Thursday.---AFP
