Crude Rises; Copper, Rubber Gain on China: Commodities at Close

The Standard & Poor’s GSCI gauge of 24 commodities rose 0.6 percent to 634.83 at 5:15 p.m. Singapore time. The UBS Bloomberg CMCI index of 26 raw materials declined yesterday 0.7 percent to 1,569.821.

CRUDE OIL

Oil rose in New York, extending a weekly gain as a report signaled manufacturing may expand at a faster pace this month in China, the world’s second-largest crude consumer.

Crude for January delivery rose as much as 98 cents to $86.87 a barrel in electronic trading on the New York Mercantile Exchange and was at $86.79 at 4:24 p.m. Singapore time. The contract fell 88 cents to $85.89 yesterday. Prices are up 1 percent this week.

OIL PRODUCTS Asia’s gasoil crack spread is poised for the first weekly drop in a month, signaling reduced profit for refiners making diesel. Naphtha swaps fell to the lowest in five weeks.

• Middle Distillates • Gasoil’s premium to Dubai crude down 2 cents at $20/bbl at 10:27 a.m. Singapore time, according to PVM Oil Associates Ltd. • Crack spread has narrowed 2.8 percent so far this week • January gasoil swaps down 95 cents, or 0.8%, at $123.10/bbl • Jet fuel regrade narrows 20 cents to minus 5 cents/bbl

• Light Distillates • Naphtha’s premium to London Brent crude down $12.71 at $87.79/ton at 10:32 a.m. Singapore time, according to data compiled by Bloomberg • Crack spread has narrowed 18 percent this week, most in five weeks • January naphtha swaps down $10, or 1.1%, at $903.50/ton, PVM said • Gasoline reforming margin yesterday rose $1.01 to close at $13.76/bbl, data compiled by Bloomberg show

• Fuel Oil • High-sulfur fuel oil’s discount to Dubai crude was at $7.23/bbl at 10:27 a.m. Singapore time, according to PVM • Crack spread down 6.2 percent this week • January HSFO swaps down $5, or 0.8%, at $608.75/ton • Viscosity spread down 25 cents at $10.75/ton

BASE METALS

Copper advanced, set for the best weekly run in more than a year, after data showed China’s manufacturing may expand at a faster pace, adding to signs that demand in the world’s top metals buyer is recovering.

PRECIOUS METALS

Gold climbed from the lowest level in a week, trimming a third weekly drop, as optimism that China’s economy is recovering boosted demand for commodities.

Spot gold rose as much as 0.2 percent to $1,700.45 an ounce, and was at $1,699.02 at 3:33 p.m. Singapore time, 0.3 percent lower this week. The metal dropped to a low of $1,689.65 yesterday, the least expensive since Dec. 7. Gold for February delivery rose 0.2 percent to $1,699.70 an ounce on the Comex. Assets in exchange-traded products rose to an all-time high of 2,629.968 metric tons yesterday, data compiled by Bloomberg show.

GRAINS, OILSEEDS, SOFT COMMODITIES

Soybeans climbed to the highest level in a week after export sales from the U.S., last year’s top shipper, jumped to a two-year high, signaling rising demand.

The contract for March delivery gained as much as 1 percent to $14.875 a bushel on the Chicago Board of Trade and was at $14.86 at 4:13 p.m. Singapore time, set for a fourth weekly rise. That’s the longest weekly winning run for futures since August.

Wheat for March delivery was little changed at $8.0825 a bushel after slumping yesterday 1.3 percent to the lowest intraday price for the most-active contract since July. Futures are set for a 6 percent loss this week, the most since the five days ended June 1.

Corn for March delivery lost 0.2 percent to $7.19 a bushel, set for a 2.5 percent loss this week. That trimmed this year’s advance to 11 percent.

Rubber gained to the highest level in more than six months as China’s manufacturing may expand at a faster pace this month and crude oil rose.

The contract for delivery in May rose 1.8 percent to 276.4 yen a kilogram ($3,302 a metric ton), the highest level at close since May 22, on the Tokyo Commodity Exchange. Futures surged 4.9 percent this week, climbing for a second week.

Palm oil advanced the most in nearly four weeks as a plunge to a three-year low yesterday prompted some investors to buy and after data from China signaled recovery in the biggest cooking oil consumer.

To contact the reporter on this story: Christian Schmollinger in Singapore at christian.s@bloomberg.net

To contact the editor responsible for this story: Alexander Kwiatkowski at akwiatkowsk2@bloomberg.net

Bloomberg reserves the right to edit or remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.