Crude Falls Second Day; Copper Prices Drop: Commodities at Close
Crude for November delivery dropped as much as $1.61 to $88.27 a barrel in electronic trading on the New York Mercantile Exchange and was at $88.36 at 8:34 a.m. London time. The contract slipped 2 percent to $89.88 on Oct. 5, capping a 2.5 percent loss last week. Prices are down 10.6 percent this year.
The premium of gasoil, or diesel, to Asian marker Dubai crude rose 57 cents to $21.15 a barrel at 10:16 a.m. Singapore time, according to data from PVM Oil Associates Ltd., a broker. This crack spread, a measure of refining profit, is the widest since June 2011. Gasoil swaps for November climbed 35 cents, or 0.3 percent, to $128.90 a barrel, PVM said. Prices are the highest since Sept. 19.
High-sulfur fuel oil fell 45 cents to $4.99 a barrel below Dubai crude at 10:16 a.m. Singapore time, according to PVM. That’s the biggest discount since May 11, showing losses are widening for refiners making residual products. Fuel oil swaps for November dropped $4.25, or 0.7 percent, to $652.50 a metric ton, PVM data showed. Prices are down for the fifth time in six days.
Copper fell to the lowest level in a week, leading declines among industrial metals, as further signs of a slowdown in China spurred concern that demand growth will weaken in the world’s top user. Zinc slid to a three-week low.
Metal for delivery in three months lost as much as 1.6 percent to $8,163 a metric ton on the London Metal Exchange, the lowest price since Oct. 1. Futures traded at $8,173 at 3:33 p.m. in Seoul. Copper climbed 1.1 percent last week, rising for the first time in three weeks. Zinc retreated as much as 1.6 percent to $2,041.75 a ton, the lowest price since Sept. 14, while aluminum fell as much as 1.4 percent to $2,080 a ton.
Gold dropped to a one-week low as commodities fell on speculation the euro-zone debt crisis will continue to damp demand for raw materials. Silver tumbled to the cheapest since Sept. 26.
GRAINS, OILSEEDS, SOFT COMMODITIES
Wheat advanced for the first time in three days on forecasts for cold, dry weather in parts of the U.S. that may hurt crops. Corn and soybeans dropped.
The contract for December delivery increased as much as 1 percent to $8.6575 a bushel on the Chicago Board of Trade and was at $8.605 at 2:40 p.m. Singapore time. Wheat climbed to a four-year high in July and corn and soybeans reached all-time peaks in the past two months as the worst U.S. drought in a half century damaged crops.
Corn for December delivery retreated as much as 0.7 percent to $7.425 a bushel, before trading at $7.445. Soybeans for November delivery lost as much as 0.8 percent to $15.3875 a bushel and were at $15.41.
Palm oil fell, snapping a three-day gain, on concern stockpiles in Malaysia, the largest producer after Indonesia, reached a record. Futures in Dalian dropped to the lowest since 2010 as the market reopened after a holiday.
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