Cotton Climbs as U.S. Export Sales Jump: Commodities at Close

The Standard & Poor’s GSCI gauge of 24 commodities rose 0.2 percent to 635.43 at 4:15 p.m. New York time. The UBS Bloomberg CMCI index of 26 raw materials fell 0.3 percent to 1,542.526.

SOFT COMMODITIES

Cotton futures posted the biggest gain in almost two weeks after government data showed increased demand for supplies from the U.S., the world’s biggest exporter. Orange juice declined.

Cotton for December delivery climbed 2.7 percent to settle at 71.39 cents a pound on ICE Futures U.S. in New York, the biggest gain for a most-active contract since July 13.

Orange-juice futures for September delivery fell 0.2 percent to $1.0995 a pound. The price has slumped 35 percent this year, partly because of easing demand.

LIVESTOCK

Hog futures jumped to a two-week high as the surging cost of livestock feed forced producers to spend less time fattening animals, reducing pork supplies. Cattle prices rose.

Hog futures for October settlement rose 1.5 percent to settle at 81.425 cents a pound on the Chicago Mercantile Exchange. After the close of regular trading, the commodity reached 81.6 cents, the highest level since July 12. The price has dropped 3.4 percent this year.

Wholesale pork gained 0.2 percent yesterday to 92.68 cents a pound, the highest price since July 2, U.S. Department of Agriculture data showed. Carcasses at slaughterhouses on July 24 fell to 199.12 pounds (90.3 kilograms) on average, the lowest since Aug. 16, government data show. Animals use more energy to stay cool in hot weather, eroding weight gains.

Cattle futures for October delivery advanced 0.2 percent to close at $1.23175 a pound on the CME. The price has climbed 1.4 percent this year.

Feeder-cattle futures for August settlement increased 1 percent to settle at $1.36 a pound.

CRUDE OIL

Oil rose for a third day as U.S. reports on durable goods and jobless claims reduced concern that economic growth is slowing and Mario Draghi, the head of the European Central Bank, pledged that the euro will survive.

Crude for September delivery rose 42 cents to settle at $89.39 a barrel on the New York Mercantile Exchange. Prices have increased 15 percent from the year’s closing low of $77.69 a barrel on June 28.

Brent oil for September settlement climbed 88 cents, or 0.8 percent, to end the session at $105.26 a barrel on the London- based ICE Futures Europe exchange.

OIL PRODUCTS

Gasoline rose from a two-week low, following oil on Draghi’s comments and the U.S. economic reports.

Gasoline for August delivery rose 2.09 cents, or 0.7 percent, to settle at $2.8138 a gallon on the Nymex, the first increase in four days. The more actively traded September contract gained 2.08 cents to $2.737.

Heating oil for August delivery rose 2.45 cents, or 0.9 percent, to $2.8685 a gallon on the Nymex. The September contract advanced 2.27 cents to $2.8694.

NATURAL GAS

Natural gas rose in New York for the sixth time in seven days after a government report showed a below-average inventory gain that was in line with expectations.

Gas for August delivery rose 3.5 cents to settle at $3.105 per million British thermal units on the Nymex. Gas is up 3.9 percent this year.

The August contract expires tomorrow. The more actively traded September futures gained 3.8 cents to $3.09, which narrowed the discount to August futures by 0.3 cent to 1.5 cents.

PRECIOUS METALS

Gold rose for a second day on Draghi’s comments and increasing expectations of further stimulus measures in the U.S.

Gold futures for December delivery advanced 0.4 percent to settle at $1,619.80 an ounce on the Comex in New York. Prices have gained 3.4 percent this year.

Silver futures for September delivery fell 0.1 percent to $27.446 an ounce in New York.

On the New York Mercantile Exchange, platinum futures for October delivery climbed 0.4 percent to $1,405.60 an ounce. Palladium futures for September delivery increased 0.8 percent to $569.90 an ounce.

BASE METALS

Copper rose for a second day as the European Central Bank signaled greater efforts to stem a deepening debt crisis that threatens demand for the metal.

Copper futures for September delivery rose 0.6 percent to settle at $3.3935 a pound on the Comex in New York. The price gained 0.6 percent yesterday.

On the London Metal Exchange, copper for delivery in three months increased 0.3 percent to $7,470 a metric ton ($3.39 a pound).

Inventories monitored by the LME, down for the fourth straight day, have declined 33 percent this year.

Aluminum, lead, tin and zinc prices advanced in London. Nickel was unchanged.

GRAINS

Soybean futures fell, heading for the first weekly decline in more than a month, on speculation that rainfall in the U.S. Midwest will save crops amid the worst drought in 56 years. Corn and wheat also declined.

Soybean futures for November delivery plunged 3 percent to settle at $15.675 a bushel on the Chicago Board of Trade. The price is down 7 percent for the week after rising five weeks in a row. The price has risen 19 percent since mid-June.

Corn futures for December delivery fell 1.5 percent to $7.7625 a bushel. The price is up 53 percent since June 15.

Wheat futures for September delivery dropped 2.1 percent to $8.84 a bushel. The price jumped 41 percent from mid-June.

Corn is the biggest U.S. crop, valued at $76.5 billion in 2011, followed by soybeans at $35.8 billion, government figures show. Wheat is the fourth-largest at $14.4 billion, behind hay.

To contact the reporter on this story: Paul Burkhardt in New York at pburkhardt@bloomberg.net

To contact the editor responsible for this story: Dan Stets at dstets@bloomberg.net

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