commodity-markets0.42 min read
"Iron Ore Prices Plummet as China Construction Outlook Dims"
1 year ago•Source: Bloomberg
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0.725 min•1 year ago
Global Cocoa Prices Surge, Easter Treats at Risk
Cocoa prices surged to a record-breaking $10,030 per metric ton, driven by supply constraints including hotter temperatures in Ivory Coast, the world's largest cocoa producer, and an outbreak of cacao swollen shoot virus. The commodity has soared nearly 138% this year, with strong chocolate demand in countries like the U.S. contributing to the price hike.
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"Natural Gas Prices: Threatened at Lows Despite Demand Spike Predictions"
FX Empire•1 year ago
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"Stagnant Natural Gas Prices Persist Despite Weather Fluctuations"
FX Empire•1 year ago
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"Analyzing the Fluctuating Trends of Natural Gas Prices"
Natural gas markets have drifted lower with lackluster price action, with the $2 level likely to attract buyers. The $2.50 level is expected to act as a price magnet, while $3 presents a significant resistance barrier. The market's momentum has waned, and it is highly dependent on weather forecasts in the northeastern United States. Currently, there is no clear indication for buying or shorting, leaving the market in a state of limbo as it awaits potential bounce and follow-through.
"Volatile Natural Gas Prices: Forecast and Impact on Winter Heating Costs"
Natural gas markets rallied initially but showed signs of exhaustion due to technical and fundamental headwinds, with prices likely to slow down to the $2.50 level. The $2 level is significant support, while the $3 level is significant resistance, with potential resistance extending to $3.33. As winter nears its end, futures markets are pricing in March, putting downward pressure on natural gas due to decreasing heating demand. The market is expected to trade within a range for most of the year, with $2 as support and $3.33 as the ceiling, presenting a neutral outlook.
Geopolitical Tensions Drive Oil Prices Higher
Oil markets are testing weekly highs as natural gas faces pressure due to anticipated warm weather, while WTI oil attempts to settle above $75.00 following claims by Houthis of an attack on a U.S. military cargo ship, and Brent oil tests the $80.00 level amidst escalating tensions in the Middle East. If natural gas remains below $2.45, it may head towards support at $2.10 - $2.15, while WTI oil could move towards the $79.00 - $80.00 resistance if it settles above $75.00. Brent oil's RSI indicates potential for additional momentum if the right catalysts emerge.
"Natural Gas Prices Slide as Cold Snap Boosts ETFs and Futures"
Natural gas prices fell during the trading week as concerns about oversupply and the fading impact of winter storms in the United States weighed on the market. Technical analysis suggests a potential drop towards the $2 level, with traders pricing in the upcoming March contract and its typical decrease in demand. The market is likely to carve out a range between $2 and $3.33 for the year, with the $2 level being a major floor.
"US Natural Gas Prices Plunge Despite Record Demand and Cold Snap"
Natural gas markets plunged from the top of the overall consolidation range, indicating a potential selling opportunity as the market pulls back. With temperatures expected to normalize, demand is likely to decrease, highlighting the oversupply of natural gas and leading to a focus on pricing reflecting this concern. The market is anticipated to trade within a range for the rest of the year, with $3.33 as the top and $2 as the bottom, and a potential move towards the middle of the range in the near term.
Oil Prices Surge Amid Supply Disruptions and Middle East Tensions
WTI oil rose above $72 as tensions in the Middle East escalated due to a Houthi attack on a U.S.-owned vessel, while natural gas prices retreated on bearish weather forecasts. Brent oil also moved above $78 amid concerns about potential disruptions in Middle East oil supply, with technical analysis indicating key resistance levels for each commodity.
"Unpredictable Weather and Trading Frenzy Drive Natural Gas Price Volatility"
Natural gas markets show volatility as prices pull back due to reliance on winter weather forecasts, with hesitation to break above previous resistance. Despite potential for further price increases, momentum is expected to dwindle, leading to a possible downturn. Plentiful natural gas supplies and the approaching end of winter suggest limited upward movement, with caution advised for buying at current levels.
OPEC+ Production Cuts to Reduce Oil Surplus and Boost Prices
OPEC+ announced further output cuts, which could eliminate the oil surplus that had built up in the markets. Meanwhile, gold markets have rallied, gaining over 8.9% in the past 30 days and 10.4% in the year-to-date, with the commodity finding support around $1,800/oz. Gold's correlation with the USD and real yields has been positive, and central banks have become net buyers, which could boost prices. Interest rate expectations for November 2023 are currently priced in at 3.80%, down from a peak of 5.65% just a week earlier.