Aluminum Falls on Alcoa’s Demand Outlook: Commodities at Close

The Standard & Poor’s GSCI Spot Index of 24 raw materials fell 0.4 percent to settle at 664.76 at 4 p.m. New York time, led by industrial metals.

The UBS Bloomberg CMCI gauge of 26 prices dropped 0.5 percent to 1,616.36.

BASE METALS

Aluminum tumbled the most in 11 weeks as Alcoa Inc. cut its forecast for global demand this year, and car sales unexpectedly fell in China, the world’s top metal consumer.

Alcoa, the largest U.S. aluminum producer, reduced its projection by 1 percentage point. The China Association of Automobile Manufacturers said that wholesale deliveries were 1.32 million units last month, below the 1.35 million estimated by analysts in a Bloomberg survey.

On the London Metal Exchange, aluminum for delivery in three months slid 2.2 percent to $2,008 a metric ton, the biggest decline since July 20.

Copper for delivery in three months rose 0.2 percent to $8,165 a ton ($3.70 a pound) in London. Zinc, lead and nickel declined, while tin was unchanged.

Copper futures for December delivery were unchanged at $3.718 a pound on the Comex in New York. Earlier, the price touched $3.6935, the lowest for a most-active contract since Sept. 26.

CRUDE OIL

Crude oil fell on expectations that U.S. supplies will rise for the first time in three weeks, and concern mounted that a sluggish global economy will curb demand for commodities.

On the New York Mercantile Exchange, oil futures for November delivery dropped 1.2 percent to $91.25 a barrel.

Brent for November settlement slid 0.1 percent to $114.33 a barrel on the London-based ICE Futures Europe exchange.

BP Plc bought a third North Sea Forties cargo for October at a lower price than yesterday. It didn’t manage to buy Russian Urals crude in northwest Europe at a smaller discount to Dated Brent.

Two Forties shipments for export in October were deferred for a second time, according to two people with knowledge of the loading program.

GRAINS, OILSEEDS

Soybean fell, capping the longest slump in three weeks, on speculation that rain boosted prospects for crops in the U.S. and South America.

On the Chicago Board of Trade, soybean futures for November delivery dropped 1.7 percent to $15.2325 a bushel. The price dropped for the third straight day, the longest slump since Sept. 18.

Wheat futures for December delivery rose 0.6 percent to $8.6975 a bushel, the biggest gain this month, on speculation that declining world production will boost demand for U.S. exports.

Corn futures for December delivery fell 0.7 percent to $7.3675 a bushel. Earlier, the price touched $7.3225, the lowest since Sept. 28.

SOFT COMMODITIES

Cocoa futures fell the most in a week on speculation that Europe’s economic woes will damp demand.

On ICE Futures U.S. in New York, cocoa for December delivery declined 1.9 percent to $2,372 a ton, the biggest drop since Oct. 3.

Arabica-coffee futures for December delivery slid 1.1 percent to $1.6345 a pound.

Raw-sugar futures for March delivery fell 1 percent to 21.26 cents a pound.

Orange-juice futures for November delivery dropped 0.6 percent to $1.113 a pound. The price declined for the fifth straight session, the longest slump since July 23.

Cotton futures for December delivery advanced 0.4 percent to 72.1 cents a pound.

LIVESTOCK

Hogs rose to a nine-week high on signs of increasing demand for U.S. pork.

On the Chicago Mercantile Exchange, hog futures for December settlement gained 1.7 percent to 78.1 cents a pound. Earlier, the price reached 78.25 cents, the highest since Aug. 3.

Cattle futures for December delivery dropped 0.1 percent to $1.26575 a pound.

Feeder-cattle futures for November settlement were unchanged at $1.467 a pound.

OIL PRODUCTS

Heating oil rose to a three-week high on speculation that supplies fell last week, and higher prices for gasoil in Europe may spur more exports of diesel from the U.S.

On the Nymex, heating-oil futures for November delivery gained 0.3 percent to $3.2131 a gallon. Earlier, the price reached $3.2424, the highest since Sept. 17.

Gasoline futures for November delivery advanced less than 0.1 percent to $2.9593 a gallon.

NATURAL GAS

Natural gas gained for the third straight day amid forecasts for below-normal U.S. temperatures that may reduce a glut of the fuel in storage.

On the Nymex, gas futures for November delivery rose 0.2 percent to at $3.475 per million British thermal units.

U.K. gas for next-day delivery rose to the highest since February as imports from Norway slumped to the lowest in a month and cooler weather stoked demand.

The price climbed 1 percent to 64.65 pence a therm at 3:30 p.m. London time after earlier reaching 65.5 pence. Next-month gas added 0.2 percent to 64 pence a therm. That’s equivalent to $10.26 per million Btu.

PRECIOUS METALS

Gold gained for the first time in four sessions as the dollar fell against the euro, increasing demand for the metal as an alternative investment.

On the Comex, gold futures for December delivery rose 10 cents to $1,765.10 an ounce on the Comex in New York. Earlier, the price dropped to $1,758.50, the lowest since Sept. 27.

Silver futures for December delivery advanced 0.4 percent to $34.109 an ounce.

Platinum futures for January delivery fell 1 percent to $1,678.50 an ounce on the Nymex. Palladium futures for December delivery retreated 1.3 percent to $649.90 an ounce.

To contact the reporter on this story: Patrick McKiernan in New York at pmckiernan@bloomberg.net

To contact the editor responsible for this story: Steve Stroth at sstroth@bloomberg.net

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