Oil Climbs to 4-Month High on Fed: Commodities at Close

The Standard & Poor’s GSCI gauge of 24 commodities gained 0.2 percent to 684.3 by 5 p.m. in London. The UBS Bloomberg CMCI index of 26 raw materials rose 0.1 percent to 1,642.739.

CRUDE OIL

Oil climbed to a four-month high on speculation that the Federal Reserve will unveil more stimulus measures and on concern that protests in the Middle East and North Africa may curb supply.

Crude oil for October delivery advanced $1.27, or 1.3 percent, to $98.28 a barrel on the New York Mercantile Exchange. The contract reached $98.58, the highest level since May 4.

Brent oil for October settlement increased 92 cents, or 0.8 percent, to $116.88 a barrel on the London-based ICE Futures Europe exchange. The contract touched $117.48, the highest level since May 3. The European benchmark grade’s premium to West Texas Intermediate traded in New York was at $18.60, down from $18.95 yesterday.

GRAINS, OILSEEDS

Wheat rose for a second day on speculation that importers will seek alternatives to grain supplied by Russia, where prices have surged because of a drought.

Wheat futures for December delivery rose 0.6 percent to $8.955 a bushel on the Chicago Board of Trade.

Soybeans fell for the sixth time in seven sessions on speculation that record prices earlier this month will encourage U.S. farmers to sell more while reducing demand from China. Soybean futures for November delivery declined 0.6 percent to $17.3575 a bushel on CBOT, after jumping 2.6 percent yesterday.

Corn futures for December delivery rose 0.3 percent to $7.7175 a bushel in Chicago, after yesterday touching a seven- week low of $7.5925.

Grain markets: NI GRMKTS

NATURAL GAS

Natural gas futures extended a decline in New York after the Energy Department said U.S. stockpiles climbed 27 billion cubic feet last week to 3.429 trillion cubic feet.

Natural gas for October delivery fell 7.6 cents, or 2.5 percent, to $2.987 per million British thermal units after the data was released at 10:30 a.m. in Washington. Gas was trading at $3.022 per million Btu before the storage report.

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

SOFT COMMODITIES

Sugar climbed for a fifth session, the longest streak since July 20, on speculation that rains may again disrupt the harvest in Brazil, the world’s largest producer. Cocoa fell, while coffee climbed.

Raw sugar for March delivery gained 0.4 percent to 20.49 cents a pound on ICE Futures U.S. in New York.

Cocoa futures for December delivery fell 0.3 percent to $2,622 a ton in New York.

Arabica-coffee futures for December delivery advanced 1.6 percent to $1.8035 a pound on ICE.

Cotton for December delivery fell 0.23 cent, or 0.3 percent, to 73.1 cents a pound on ICE Futures U.S. in New York. Earlier, the price rose as much as 1.1 percent.

Soft commodities markets: NI SOMKTS

OIL PRODUCTS

Gasoline slipped as demand declined and refinery startups indicate fuel production will increase, boosting supplies.

October-delivery reformulated gasoline, or RBOB, fell 2.41 cents, or 0.8 percent, to $2.9775 a gallon on the New York Mercantile Exchange.

Heating oil for October delivery rose 0.13 cent to $3.2165 a gallon. Prices touched $3.248, the highest intraday level since April 3.

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

LIVESTOCK

Hog futures fell on signs of increasing U.S. pork supplies as more animals were being slaughtered after a national drought worsened. Cattle also dropped.

Hog futures for December settlement dropped 0.7 percent to 71.875 cents a pound on the Chicago Mercantile Exchange. Through yesterday, the price dropped 14 percent this year.

Cattle futures for delivery in December declined 0.1 percent to $1.3055 a pound.

Feeder-cattle futures for October settlement fell 0.1 percent to $1.47225 a pound.

Livestock markets: NI LVMKTS

PRECIOUS METALS

Gold futures for December delivery fell 0.4 percent to $1,726.60 an ounce on the Comex in New York. Earlier, the price slumped as much as 0.8 percent after trading little changed.

Precious metal markets: NI PCMKTS

BASE METALS

Copper may fall for the second straight day on concern that a delay in additional economic stimulus from China will curb metal demand, while investors await a U.S. Federal Reserve policy decision.

Copper futures for December delivery fell 0.1 cent to $3.6915 a pound on the Comex in New York.

On the London Metal Exchange, copper for delivery in three months declined $3 to $8,093 a metric ton ($3.67 a pound). Tin also fell, while nickel, aluminum, zinc and lead gained.

Base metals markets: NI BMMKTS

To contact the reporter on this story: John Deane in London at jdeane3@bloomberg.net

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

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