U.S. Commodities Day Ahead: Copper Rises on Easing Debt Concerns

The following are the top stories on metals, agriculture and shipping.

ECONOMIC EVENTS, AGRICULTURE REPORTS:
                                       Forecast  Prior      Time
                                                          (N.Y.)


U.S. Net Export Sales-Cotton  SEP 8            45.7         8:30
U.S. Net Export Sales-Corn    SEP 8            870.6        8:30
U.S. Net Export Sales-Soybeans SEP 8           444.9        8:30
U.S. Net Export Sales-Wheat   SEP 8            512.2        8:30
U.S. Consumer Price Index MoM AUG      0.2%     0.5%        8:30
CPI Ex Food & Energy MoM      AUG      0.2%     0.2%        8:30
Consumer Price Index YoY      AUG     3.6%     3.6%         8:30
CPI Ex Food & Energy YoY      AUG     1.9%     1.8%         8:30
U.S. Consumer Price Index NSA AUG     226.243  225.922      8:30
CPI Core Index SA             AUG              225.463      8:30
Current Account Balance       2Q      -$122.4B -$119.3B     8:30
Empire Manufacturing          SEP     -4.00    -7.72        8:30
U.S. Initial Jobless Claims   SEP 10  411K     414K         8:30
U.S. Continuing Claims        SEP 3   3710K    3717K        8:30
U.S. Industrial Production    AUG     0.0%     0.9%         9:15
U.S. Capacity Utilization     AUG     77.5%    77.5%        9:15
Bloomberg Consumer Comfort    SEP 11  -49.0    -49.3        9:45
Philadelphia Fed.             SEP     -15.0    -30.7       10:00

METAL PRICES: ($/ton)
                 Last  % Chg RSI
Copper          8,717   +1.0  40
Aluminum        2,374   +0.6  44
Zinc            2,189   +1.3  46
Lead            2,388   +1.9  46
Nickel         21,710   +1.6  50
Tin            23,650   +1.1  44

OTHER MARKETS:
                       Last  % Chg % YTD
U.S. Dollar Index    76.521   -0.5  -3.2
Crude Oil            $89.39   +0.5  -2.2
Gold               $1,801.5   -1.0   +27
MSCI World Index   1,157.43   +1.1  -9.6

TOP STORY:

Copper Rises on Reduced Debt-Crisis Concern, Strikes at Mines

Copper rose in London on reduced concern about Europe’s sovereign-debt crisis and on strikes at Peruvian and Indonesian mines.

COMMODITY EXCLUSIVES:

Oil Tanker Newlead Avra Doesn’t Load in Libya, Owner Says (1)

The oil tanker Newlead Avra, which had been traveling to Mellitah in western Libya, didn’t load a cargo as intended and is now sailing to Cyprus, the vessel’s owner said.

One Equity Is ‘Matchmaker’ to Wed Asian With European Chemicals

One Equity Partners, which sold a German chemicals business for $1.5 billion this year, will be among the buyout firms that stand to gain as Asian companies pursue European takeovers over the next five years, according to Utz-Hellmuth Felcht, a partner at the JP Morgan-owned unit.

NTPC Said to Likely Select Hitachi, Bharat Heavy for Turbines

NTPC Ltd., India’s biggest power producer, plans to select Hitachi Ltd. and Bharat Heavy Electricals Ltd. to supply as many as seven of nine turbines for generation projects, two people familiar with the matter said. The utility will choose between Toshiba Corp. and Larsen & Toubro Ltd. for the remaining orders, they said.

INDUSTRIAL METALS:

Goldman Sticks With Oil, Copper Forecasts as Risks Climb (3)

Brent crude and copper may rally as global economic growth led by emerging markets remains adequate to drive an expansion in raw-materials demand, Goldman Sachs Group Inc. said, sticking with forecasts for price gains.

Rusal in Talks With Italian Government to Restart Alumina Plant

United Co. Rusal, the world’s largest aluminum producer, is in talks with the Italian government to restart the EurAllumina refinery in Sardinia.

MINING:

Rio Tinto to Invest Further $833 Million in Pilbara Expansion

Rio Tinto said $833 million will be invested in power and fuel supply projects in the Pilbara as part of its move to increase iron ore production capacity in Western Australia, according to a regulatory filing.

Freeport Weighs Grasberg Strike Impact on Output, Shipments (1)

Freeport-McMoRan Copper & Gold Inc. is assessing the impact on production and deliveries at its Grasberg copper and gold mine in Indonesia after the union said 70 percent of workers started a one-month strike last night.

PRECIOUS METALS:

Gold Retreats as European Support for Greece Slows Haven Demand

Gold declined for a second day after German and French leaders expressed support for Greece to remain in the euro area and amid speculation China may help the region’s most-indebted nations.

AGRICULTURE:

Palm Oil Advances as Leaders’ Pledge Cuts Euro Debt Concerns

Palm oil gained for a second day after French and German leaders said they’re certain Greece will stay in the euro zone, easing concern that Europe’s debt crisis may spread and boosting the outlook for commodities demand.

North Korea Food Crisis Worsens as Prices Jump, Aid Vanishes (1)

North Korea’s food shortages are worsening, with a drop in aid and a jump in food prices prompting a “rapid” rise in malnourished children and putting millions of others at risk, two United Nations agencies warned.

EU Potato Output to Rise, Adding Competition for U.S., USDA Says

European Union production of consumption potatoes is forecast to rise this year, which will probably intensify competition for U.S. exports in the 2011-12 marketing year, the U.S. Department of Agriculture said.

India’s Cooking Oil Imports Drop as Buyers Await Lower Tax (1)

Vegetable oil imports by India, the biggest user after China, fell for the first time in four months in August as buyers deferred purchases before Indonesia implemented a cut in export tax.

Wheat Drops as Egypt Buys From Russia, Shunning U.S., EU Grain

Wheat futures fell after Egypt, the world’s biggest importer of the grain, bought more Russian wheat and again shunned U.S. and European Union inventories.

Palm Oil Advances as Leaders’ Pledge Cuts Euro Debt Concerns

Palm oil gained, reversing a loss, after French and German leaders said they’re certain Greece will stay in the euro zone, easing concern that Europe’s debt crisis may spread and boosting the outlook for commodities demand.

Sugar Rises as Rains May Hurt Asian Crops; Robusta Coffee Falls

Sugar rose in London, rebounding from yesterday’s drop, on concern rains may hurt crops in Asia and dry weather might curb output in top global producer Brazil. Robusta coffee slid.

SHIPPING:

Oil Tanker Newlead Avra Fails to Load Libyan Cargo, Owner Says

The oil tanker Newlead Avra, which had been traveling to the port of Mellitah in western Libya, failed to load a cargo and is now heading to Cyprus, the vessel’s owner said.

ECONOMIES:

China Willing to Buy Debt-Crisis Nations’ Bonds, Zhang Says (1)

China is willing to buy euro bonds from countries involved in the sovereign debt crisis “within its capacity,” Zhang Xiaoqiang, vice chairman of the nation’s top economic planning agency, said today.

Asia-Pacific Economies Face Stiff Test, S&P Says in Report

A potential double-dip recession among developed economies could have “tough knock-on effects” for Asia-Pacific nations, Standard & Poor’s Ratings Services said today, citing a series of articles it published this week.

Merchants Bank President Says China Safe From Wave of Defaults

Chinese regulators have taken steps that will keep the world’s second-largest economy safe from widespread bad loans, China Merchants Bank Co. President Ma Weihua said.

Auction Yields Top Forecasts as Cash Crunch Looms: China Credit

Investors are demanding higher yields than traders are predicting at auctions of Chinese bonds on speculation the government’s efforts to fight inflation will stoke a cash crunch.

China Willing to Buy Bonds From Debt-Crisis Nations, Zhang Says

China is willing to buy bonds from nations involved in the sovereign debt crisis, National Development and Reform Commission Vice Chairman Zhang Xiaoqiang said in an interview with the media in Dalian yesterday.

Greece Wedded to Euro as Treaties Provide No Way to Opt Out

“Everything must be done to keep the euro zone together.” That was Chancellor Angela Merkel speaking on German radio on Sept. 13 as she denied reports that Germany was preparing for Greece’s exit from the monetary union.

Sarkozy, Merkel Say Greece’s Future Is in the Euro Region (1)

French President Nicolas Sarkozy and German Chancellor Angela Merkel said they are “convinced” Greece will stay in the euro area as they faced international calls to step up efforts in fighting the region’s debt crisis.

SNB Stresses Resolve on Franc as Interest Rate Stays at Zero (3)

The Swiss central bank said it’s ready to take “further measures” if needed to stem gains in the franc against the euro as it left its benchmark interest rate at zero to ward off the threat of a recession.

EU Cuts Euro-Area 2nd-Half Growth Forecasts on Debt Crisis (2)

The European Union cut its growth forecasts for the second half to reflect a worsening outlook on the sovereign-debt crisis and warned the euro-area economy may come “close to standstill at year-end.”

Merchants Bank’s Ma Says China Is Safe From Wave of Defaults (1)

Chinese regulators have taken steps to curb risks from the nation’s record lending boom and a repeat of the bad debts that led to a $650 billion bailout last decade is “impossible,” China Merchants Bank Co. said.

OTHER MARKETS:

Stocks, Euro Gain on Greek Backing; UBS Slides on Trading Loss

Stocks gained for a third day, the euro strengthened and Greece’s bond yields fell after German and French leaders reiterated support for the country. UBS AG tumbled after reporting a $2 billion trading loss.

Euro Rises 2nd Day as Sarkozy, Merkel Pledge to Support Greece

The euro strengthened for a second day against the yen and the dollar after French President Nicolas Sarkozy and German Chancellor Angela Merkel said they are “convinced” Greece will stay in the currency union.

N.Z. Dollar Slumps as Central Bank Holds Rates; Aussie Declines

New Zealand’s dollar fell against all of its 16 major counterparts after Reserve Bank Governor Alan Bollard held interest rates at a record low, citing a risk that the global economy will slow “sharply.”

European Stocks Gain as Backing for Greece Outweighs UBS Loss

European stocks climbed for a third day as assurance from Germany and France that Greece will remain a member of the euro outweighed a $2 billion trading loss at UBS AG. Asian shares and U.S. index futures gained.

Asia Stocks Rise as Germany, France Say Greece to Remain in Euro

Asian stocks climbed, with the regional benchmark index rebounding from its lowest level in more than a year, after French President Nicolas Sarkozy and German Chancellor Angela Merkel said Greece will stay in the euro zone.

Oil Rises a Second Day in London on European Support for Greece

Oil rose for a second day in London after German and French leaders said they’re certain Greece will remain in the euro zone, tempering concern that the region’s debt crisis will damage fuel consumption.

Gasoline Poised to Test $2.4489 Next Week: Technical Analysis

Gasoline may fall to $2.4489 a gallon next week after closing below the 50-day and 100-day moving averages for the fourth time yesterday, according to a technical analysis by T&K Futures & Options.

Sarkozy, Cameron Visit Libya to Support Post-Qaddafi Rulers (2)

French President Nicolas Sarkozy and U.K. Prime Minister David Cameron visited Libya today, the first foreign leaders to do so since they helped opposition forces oust Muammar Qaddafi last month.

SPORTS:

Everton May Be Forced to Sell Fellaini, Mail Reports: Roundup

The following is a roundup of soccer stories from U.K. newspapers, with clickable links to the Web.

U.S. Beats Russia 13-6 to Rebound From Loss in Opening Game

The U.S. beat Russia 13-6 in today’s only Rugby World Cup match to secure its third win in tournament history and hand the Bears a loss in their debut.

Wallabies Recall O’Connor, Botha Recovers: World Cup Roundup

The following is a roundup of stories from the 2011 Rugby World Cup in New Zealand.

To contact the editor responsible for this story: Stuart Wallace in London at swallace6@bloomberg.net

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