Oil Climbs as Fed May Move to Spur Growth: Commodities at Close

The Standard & Poor’s GSCI gauge of 24 commodities rose 0.5 percent to 679.920 by 4:55 p.m. in London. The UBS Bloomberg CMCI index of 26 raw materials was up 0.5 percent at 1,605.491.

CRUDE OIL

Oil climbed to a three-month high in New York on speculation that central banks in the U.S., China and Europe will ease monetary policy to stimulate growth.

Crude oil for October delivery climbed 50 cents, or 0.5 percent, to $97.76 a barrel on the New York Mercantile Exchange. Futures touched $98.29, the highest level since May 4. Prices are up 14 percent from a year ago.

Brent oil for October settlement advanced 84 cents, or 0.7 percent, to $115.75 a barrel on the London-based ICE Futures Europe exchange. The European benchmark’s premium to West Texas Intermediate crude, the grade traded in New York, was at $17.99, up from $17.65 yesterday.

Oil markets: NI OILMARKET

OIL PRODUCTS

Gasoline advanced to a 16-week high as Brent crude strengthened and a rise in U.S. jobless claims fueled speculation that the Federal Reserve will move to stimulate economic growth.

September-delivery gasoline rose 1.83 cents, or 0.6 percent, to $3.1225 a gallon on the New York Mercantile Exchange. Prices touched $3.1503, the highest intraday level for the front-month contract since April 30. The more actively traded October contract gained 2.13 cents to $2.9595.

Heating oil for September delivery rose 1.92 cents, or 0.6 percent, to $3.1479 a gallon, after touching $3.16, the highest intraday price since May 2. October heating oil gained 1.85 cents to $3.1557.

Regular gasoline at the pump, averaged nationwide, rose 0.2 cent to $3.718 gallon yesterday, AAA data showed. Prices have climbed 39.2 cents since July 1, according to data from the nation’s largest motoring organization.

Oil Products Europe: NI OPEMKT Gasoline: NI GASOLINE Heating oil: NI HEATOIL

NATURAL GAS

Natural gas futures declined in New York after a government report showed a bigger-than-expected stockpiles increase last week.

Gas for September delivery fell 10.3 cents, or 3.6 percent, to $2.723 per million British thermal units on the New York Mercantile Exchange. Gas was trading at $2.766 per million Btu before the report was released at 10:30 a.m.

U.K. natural gas: NI NUKMKT Gas market: NI GASMARKET Americas natural gas: NI AGASMARKET European natural gas: NI EGASMARKET

SOFT COMMODITIES

Orange-juice futures headed for the first drop this week as concern eased that a storm may harm groves in Florida, the world’s second-largest citrus grower. Cotton, coffee and sugar slid. Cocoa rose.

Orange juice for November delivery fell 1.9 percent to $1.1985 a pound on ICE Futures U.S. in New York. Through yesterday, the price rose 13 percent since Aug. 16.

Cotton futures for December delivery slid less than 0.1 percent to 76.94 cents a pound on ICE, on pace for the second straight loss.

Also in New York, arabica-coffee futures for December delivery dropped 0.3 percent to $1.6155 a pound. Raw-sugar futures for October delivery fell 0.1 percent to 19.92 cents a pound. Cocoa futures for December delivery climbed 0.1 percent to $2,382 a metric ton.

Soft commodities markets: NI SOMKTS

BASE METALS

Copper futures climbed to a one-month high in New York on mounting speculation that the U.S. and China will take further steps to spur economic growth.

Copper futures for December delivery rose 1.2 percent to $3.5035 a pound on the Comex in New York, after reaching $3.517, the highest for a most-active contract since July 20.

On the LME, copper for delivery in three months rose 1.1 percent to $7,690 a metric ton ($3.49 a pound).

Lead, aluminum, nickel, zinc and tin climbed in London.

Base metals markets: NI BMMKTS

PRECIOUS METALS

Gold advanced to the highest in 16 weeks amid speculation that the U.S. will take additional steps to spur economic growth, boosting the appeal of the precious metal as an inflation hedge. Platinum extended a rally.

Gold futures for December delivery climbed 1.6 percent to $1,666.60 an ounce on the Comex in New York after earlier jumping to $1,669.50, the highest for a most-active contract since May 1.

Silver futures for December delivery rose 3.4 percent to $30.645 an ounce in New York, after earlier reaching $30.77, the highest since May 2.

On the New York Mercantile Exchange, platinum futures for October delivery gained 1.4 percent to $1,547.50 an ounce after reaching $1,563.60, the highest for a most active contract since May 3. Prices have increased for a sixth day, the longest stretch since Oct. 28, after violence in South Africa, the world’s biggest supplier.

Precious metal markets: NI PCMKTS

GRAINS, OILSEEDS

Corn futures fell for a second day on speculation that crop damage from the worst U.S. drought in a half-century wasn’t as severe as expected by the government. Soybeans also declined, and wheat advanced.

Corn futures for December delivery declined 0.9 percent to $8.275 a bushel on the Chicago Board of Trade. The price touched a record $8.49 on Aug. 10.

Soybean futures for November delivery slipped 0.3 percent to $17.2325 a bushel on the CBOT, after reaching a record $17.4475. The price is up 31 percent since June 15.

Wheat futures for December delivery advanced 0.1 percent to $9.18 a bushel in Chicago, heading for the sixth gain in seven sessions.

Grain markets: NI GRMKTS

EUROPEAN CARBON PERMITS

European Union carbon for December rose 1.7 percent to 8.17 euros a ton on the ICE Futures Europe exchange.

EU Carbon Emissions: NI ECBMKT

To contact the reporter on this story: Jessica Abrahams in London at jabrahams7@bloomberg.net

To contact the editor responsible for this story: Claudia Carpenter at ccarpenter2@bloomberg.net

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