Metals Surge as Central Banks Buy Gold: Commodities at Close

The Standard & Poor’s GSCI Spot Index of 24 raw materials rose 1.7 percent, the most since November, to settle at 625.15 at 4 p.m. New York time, led by precious metals.

The UBS Bloomberg CMCI gauge of 26 prices advanced 1.4 percent to 1,481.05.

PRECIOUS METALS

Gold rose the most since June following purchases by central banks and signs of increasing investor demand on the heels of last week’s biggest plunge in three decades.

Russia and Kazakhstan expanded gold reserves in March for the sixth straight month, International Monetary Fund data show. The volume for the Shanghai Gold Exchange’s benchmark contract has been more than four times last year’s daily average every day since April 16, while monthly coin sales by the U.S. Mint are heading for the highest since December 2009.

On the Comex, gold futures for June delivery jumped 2.7 percent to $1,462 an ounce, the biggest gain for a most-active contract since June 29.

Silver futures surged 5.7 percent to $24.182 an ounce, the biggest increase since Jan. 3, 2012.

On the New York Mercantile Exchange, platinum futures for July delivery rose 2.3 percent to $1,464.10 an ounce.

Palladium futures for June delivery climbed 2.1 percent to $681.40 an ounce.

BASE METALS

Copper rose the most in seven months amid speculation that the economy in the U.S., the world’s second-biggest consumer of the metal, is improving.

On the Comex, copper futures for delivery in July added 2.4 percent to $3.2425 a pound, the biggest increase for the most- active contract since Sept. 14.

On the London Metal Exchange, copper for delivery in three months rose 2.1 percent to $7,180 a metric ton ($3.26 a pound). aluminum, lead, nickel, tin and zinc also advanced.

CRUDE OIL

Crude oil capped the longest rally in nine months as fewer Americans filed first-time claims for unemployment insurance payments last week and the market breached key technical resistance.

On the Nymex, oil futures for June delivery rose 2.4 percent to $93.64 a barrel, the sixth straight advance and the longest rally since July.

Brent oil for June settlement climbed 1.7 percent to $103.41 a barrel on the London-based ICE Futures Europe exchange.

Royal Dutch Shell Plc sold its second cargo of North Sea Forties crude in as many days as the differential for the benchmark blend dropped to the lowest level in about two weeks.

Nigeria, Africa’s largest oil producer, will export 60 crude cargoes in June, according to a partial loading program obtained by Bloomberg News that cover 16 of the nation’s 18 grades, the majority of which have dropped from May.

OIL PRODUCTS

Gasoline rose the most in seven weeks, gaining with crude oil, as economic data fron the U.S and U.K. boosted optimism that demand for transportation fuels will climb.

On the Nymex, gasoline futures for May delivery advanced 2.3 percent to $2.818 a gallon, the largest gain since March 8.

Ultra low-sulfur diesel futures for May delivery added 2.1 percent to $2.9017 a gallon.

GRAINS, OILSEEDS

Soybeans rose the most in five weeks on signs of increased demand for U.S. products made from the oilseed amid tightening supplies.

On the Chicago Board of Trade, soybean futures for delivery in July added 2 percent to $13.7225 a bushel, the biggest gain since March 21.

Corn futures for July delivery rose 1 percent to $6.245 a bushel.

Wheat futures for delivery in July climbed 1.7 percent to $7.0375 a bushel, the biggest gain since April 12.

NATURAL GAS

Natural gas was little changed after a government report showed a smaller-than-forecast stockpile gain and forecasts signaled mild weather.

On the Nymex, gas futures for May delivery rose less than 0.1 percent to $4.167 per million British thermal units.

U.K. gas rose 0.1 percent to 65.6 pence a therm at 5:02 p.m. in London, according to broker data compiled by Bloomberg. A therm is 100,000 Btu.

LIVESTOCK

Hogs climbed to the highest in three weeks on signs of increasing demand for U.S. pork.

On the Chicago Mercantile Exchange, hog futures for June settlement advanced 0.9 percent to 91.825 cents a pound, after reaching 92.15 cents, the highest for the most-active contract since April 4.

Cattle futures for June delivery climbed 0.7 percent to $1.229 a pound.

Feeder-cattle futures for August settlement added 1 percent to $1.5215 a pound.

SOFT COMMODITIES

Coffee fell to the lowest in a week on speculation that global supplies will be ample.

On ICE Futures U.S. in New York, arabica coffee for July delivery declined 0.7 percent to $1.374. Earlier, the price touched $1.361, the lowest for a most-active contract since April 16.

Cocoa futures for July delivery climbed 1.5 percent to $2,360 a metric ton.

Cotton futures for July delivery advanced 0.3 percent to 83.23 cents a pound.

Raw-sugar futures for July delivery rose 0.1 percent to 17.38 cents a pound.

Orange-juice futures for July delivery dropped 0.5 percent to $1.4325 a pound.

To contact the reporter on this story: Thomas Galatola in New York at tgalatola@bloomberg.net

To contact the editor responsible for this story: Patrick McKiernan at pmckiernan@bloomberg.net

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