Coffee Falls to Lowest Price in 32 Months: Commodities at Close

The Standard & Poor’s GSCI Spot Index of 24 raw materials slid 0.3 percent to 674.01, led by natural gas and corn. The UBS Bloomberg CMCI gauge of 26 raw materials fell 0.4 percent to 1,616.9161.

SOFT COMMODITIES

Coffee futures slumped to the lowest price in almost 32 months on mounting concern that global demand will trail supplies boosted by jumbo crops in Brazil and Colombia.

Arabica coffee for March delivery slid 1.3 percent to settle at $1.403 a pound on ICE Futures U.S. in New York. Earlier, the price touched $1.3965, the lowest for a most-active contract since June 11, 2010.

Cotton for March delivery dropped 0.4 percent to settle at 81.4 cents a pound in New York.

Raw-sugar futures for delivery in March slumped 0.2 percent to 18.16 cents a pound, the fourth straight loss.

Cocoa futures gained 0.4 percent to $2,236 a metric ton on ICE, while orange-juice futures for March delivery added 0.9 percent to $1.211 a pound.

Soft commodities markets: {NI SOMKTS}

NATURAL GAS

Natural gas futures fell for the first time this week after a government report showed that U.S. stockpiles declined by less than forecast last week.

Gas slipped 3.9 percent after the Energy Information Administration report showed inventories decreased by 118 billion cubic feet in the week ended Feb. 1 to 2.684 trillion cubic feet. Analyst estimates compiled by Bloomberg showed an expected withdrawal of 127 billion. A survey of Bloomberg users predicted a drop of 125 billion.

Natural gas for March delivery fell 13.3 cents to settle at $3.285 per million British thermal units on the New York Mercantile Exchange. Prices are up 33 percent from a year ago.

U.S. gas: {NI NUSMKT}

CRUDE OIL

Oil fell to the lowest level in two weeks in New York as European Central Bank President Mario Draghi said the euro’s strength could hamper an economic recovery, curbing fuel demand.

WTI oil for March delivery slid 79 cents to $95.83 a barrel on the Nymex, the lowest settlement since Jan. 23. Prices have decreased 2 percent this week.

Brent for March settlement climbed 51 cents, or 0.4 percent, to $117.24 a barrel on the ICE Futures Europe exchange. Europe’s benchmark grade rose as much as 0.9 percent after Iran said it won’t be coerced into holding direct talks with the U.S.

Oil futures: {NI CRMKTS}

PRECIOUS METALS

Gold and silver futures fell the most in a week after a rally by the dollar reduced the appeal of the precious metal as an alternative investment.

Gold futures for April delivery declined 0.4 percent to $1,671.30 an ounce on the Comex in New York, the biggest drop for the most-active contract since Jan. 31.

Silver futures for March delivery fell 1.5 percent to $31.403 an ounce, the biggest slide since Jan. 31.

On the Nymex, platinum futures for April delivery dropped 0.8 percent to $1,722.30 an ounce, ending a four-session rally. Yesterday, the metal reached $1,744.50, the highest since Sept. 22, 2011.

Palladium futures for March delivery slumped 1.9 percent to $750.45 an ounce on the Nymex, the biggest drop since Jan. 7. Yesterday, the price reached $772.90, the highest since Sept. 6, 2011.

Precious-metal markets: {NI PCMKTS}

BASE METALS

Zinc fell to the lowest price this week, leading a slump for industrial metals, on renewed concern that Europe’s debt crisis is worsening and will curb demand.

Zinc for delivery in three months slid 0.2 percent to settle at $2,163 a metric ton on the London Metal Exchange after reaching $2,144, the lowest price since Feb. 1.

Nickel, copper, lead and tin also fell in London. Aluminum was unchanged, after touching a one-week low.

In New York, copper futures for delivery in March lost 0.4 percent to close at $3.727 a pound on the Comex, the third decline this week.

Base-metal markets: {NI BMMKTS}

OIL PRODUCTS

Gasoline dropped and the March-April spread weakened for a sixth day on speculation imports to the East Coast may increase stockpiles.

March gasoline’s discount to April increased 1.84 cents to 20.08 cents a gallon. Gasoline futures sank 3.98 cents to settle at $2.9999 a gallon on the Nymex.

Gasoline at the pump, averaged nationwide, rose 0.9 cent to $3.555 a gallon, AAA said on its website today. That’s the highest price for gas at the pump since Oct. 25.

Heating oil for March delivery rose 1.37 cents to $3.1995 a gallon on volume that’s 15 percent above average.

Oil products markets: {NI OPFMKT}

GRAINS, OILSEEDS

Corn futures fell, capping the longest slump in eight weeks, as demand ebbed for exports and ethanol in the U.S., the world’s biggest grain shipper. Soybeans also declined.

Corn futures for March delivery fell 1.6 percent to close at $7.1075 a bushel on the Chicago Board of Trade, the biggest decline for a most-active contract since Dec. 19. The price dropped for the fifth straight session, the longest slump since Dec. 13.

Soybean futures for March delivery fell 0.1 percent to $14.8675 a bushel. Earlier, the price climbed as much as 0.6 percent as China, the biggest consumer, increased purchases from the U.S.

Wheat futures for March delivery fell 0.7 percent to settle at $7.56 a bushel in Chicago. The price has dropped 3.9 percent since Jan. 30.

Grain markets: {NI GRMKTS}

LIVESTOCK

Hogs rose for the first time in a week on signs of shrinking supplies of U.S. pork. Cattle also gained.

Hog futures for April settlement rose 0.3 percent to close at 86.525 cents a pound on the Chicago Mercantile Exchange. Prices are up 0.9 percent this year.

Cattle futures for April delivery rose 0.1 percent to settle at $1.31525 a pound on the CME, after reaching $1.30725, the lowest price for the most-active contract since Jan. 25.

Livestock markets: {NI LVMKTS}

To contact the reporter on this story: Asjylyn Loder in New York at aloder@bloomberg.net.

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

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