Malaysian palm oil futures were below MYR 3,840 per tonne, slipping for the second session amid growing concerns about a potential import duty hike on edible oils in top consumer India. Meanwhile, India's palm oil imports fell more than a quarter in August from July, weighed down by ample stocks and negative margins that discouraged refiners from buying more of the commodity. The contracts are on track for a second consecutive weekly drop, down 1.8% so far, due to a stronger ringgit. Separately, the latest industry data showed that Malaysian inventories grew more than expected last month, reaching a six-month high, driven by a modest rise in output and a decline in exports. Meanwhile, key buyer China is set to report August activity data Saturday, with rising worries about slower growth linked to extreme weather this summer. Helping limit the losses were the third straight day of gains in crude oil prices, as supply concerns persisted in the aftermath of Hurricane Francine.

Palm Oil Set to End Week on Downbeat Note

Gold surged to around $2,560 per ounce on Friday, setting a new record high amid a weaker dollar and lower bond yields. This increase followed new economic data that heightened expectations of more aggressive Federal Reserve action when interest rates are cut next week. Initial jobless claims in the US rose from the previous week and remained above earlier averages, signaling a softening labor market, as evidenced by weak August payrolls data. Meanwhile, US producer prices rose slightly more than expected in August due to higher service costs, but the overall trend still indicated easing inflation. Markets now anticipate a 59% chance of a 25 bps cut and a 41% chance of a 50 bps reduction, according to the CME FedWatch tool. In Europe, the ECB cut rates by 25 bps as expected, reflecting growing confidence among policymakers that inflation is on a sustained downward path.

Gold Sets New Record High

Brent crude oil futures rose to around $72.4 per barrel on Friday, advancing for the third consecutive session, supported by supply concerns stemming from the impact of Hurricane Francine on the US Gulf of Mexico. On Thursday, the hurricane shut down over 730 thousand barrels per day, or 42% of crude oil production in the region. Despite this, a downside bias for oil persists due to worries about sluggish demand in major markets. The IEA highlighted slowing global oil demand growth, particularly due to China’s weakening economy, and forecasted a potential supply surplus in 2024, even if OPEC+ maintains its production cuts. Earlier this week, data revealed that China's crude oil imports were 3.1% lower from January to August 2024 compared to the same period last year. In the US, demand concerns have also heightened, with stocks of oil and fuel increasing last week. Nevertheless, oil is on track for its first weekly gain in five weeks.

Brent Rises for 3rd Straight Session

WTI crude oil futures rose to around $69.4 per barrel on Friday, advancing for the third consecutive session, supported by supply concerns stemming from the impact of Hurricane Francine on the US Gulf of Mexico. On Thursday, the hurricane shut down over 730 thousand barrels per day, or 42% of crude oil production in the region. Despite this, a downside bias for oil persists due to worries about sluggish demand in major markets. The IEA highlighted slowing global oil demand growth, particularly due to China’s weakening economy, and forecasted a potential supply surplus in 2024, even if OPEC+ maintains its production cuts. Earlier this week, data revealed that China's crude oil imports were 3.1% lower from January to August 2024 compared to the same period last year. In the US, demand concerns have also heightened, with stocks of oil and fuel increasing last week. Nevertheless, oil is on track for its first weekly gain in five weeks.

Oil Rises for 3rd Straight Session

Soybeans increased to a 4-week high of 1016.00 USd/Bu. Over the past 4 weeks, Soybeans gained 6.67%, and in the last 12 months, it decreased 25.46%.

Soybeans Hits 4-week High

Gold increased to an all-time high of 2560.00 USD/t.oz. Over the past 4 weeks, Gold gained 3.88%, and in the last 12 months, it increased 34.27%.

Gold Hits All-time High

Silver jumped almost 4% to $29.8 per ounce on Thursday, building on recent gains fueled by expectations that major central banks will soon begin a rate-cutting cycle. The European Central Bank lowered rates by another 25 basis points, while investors are anticipating the Federal Reserve to also begin easing policy next week. According to the CME FedWatch tool, markets now see a 71% probability of a 25-basis-point rate cut at the Fed's September 17-18 meeting, with a 29% chance of a larger 50-basis-point cut. Additionally, markets are evaluating demand prospects in China, the world's top consumer, after mixed economic indicators, along with the growth of the renewable energy sector, where silver is a crucial component in solar panel production.

Silver Rallies on Rate-Cut Optimism

Gold prices soared over 1.5% to a record $2,554 per ounce on Thursday, driven by expectations of an upcoming Federal Reserve rate cut amid signs of a slowing US economy. The US Labor Department revealed that initial jobless claims rose by 2,000 to a seasonally adjusted 230,000. Meanwhile, producer prices in the US increased slightly more than anticipated in August, due to rising service costs, although the overall trend suggested easing inflation. According to the CME FedWatch tool, markets now see a 71% probability of a 25-basis-point rate cut at the Fed's meeting on September 17-18, with a 29% chance of a 50-basis-point cut. A more accommodative monetary policy tends to favor gold by lowering the opportunity cost of holding non-yielding assets. In Europe, the ECB also cut rates by 25 basis points, reflecting growing confidence among policymakers that inflation is on a sustained downward trend. The ECB joins other global central banks in reducing rates to combat falling inflation.

Gold Hits New Record

Canola decreased to a near 4-year low of 561.30 CAD/T. Over the past 4 weeks, Canola lost 1.1%, and in the last 12 months, it decreased 25.46%.

Canola Hits Near 4-year Low

Palladium increased to a 10-week high of 1039.00 USD/t.oz. Over the past 4 weeks, Palladium gained 11.49%, and in the last 12 months, it decreased 18.31%.

Palladium Hits 10-week High

Platinum increased to a 6-week high of 978.10 USD/t.oz. Over the past 4 weeks, Platinum gained 4.34%, and in the last 12 months, it increased 8.63%.

Platinum Hits 6-week High

Natural gas increased 5.03% to 2.3842 USD/MMBtu

Natural gas is up by 5.03%

Brent crude oil futures rose to $72.5 per barrel on Thursday, driven by disruptions from storm Francine, which forced the shutdown of around 670,000 barrels a day in the Gulf of Mexico—over a third of the area’s oil output. Despite this recent uptick, oil prices have been under pressure this year due to worries about slowing demand in major markets like China and the US. The International Energy Agency (IEA) highlighted these concerns, noting that global oil demand growth is cooling, particularly as China’s economy weakens. The IEA also forecasted a potential supply surplus in 2024, even if OPEC+ extends its production cuts. This scenario suggests that while short-term factors like Francine can temporarily lift prices, broader economic concerns, especially related to China, continue to weigh on the market, leaving it vulnerable to further declines.

Brent Rises amid Storm Francine

WTI crude oil futures rose over 3% to above $69 per barrel on Thursday, driven by disruptions from storm Francine, which forced the shutdown of around 670,000 barrels a day in the Gulf of Mexico—over a third of the area’s oil output. Despite this recent uptick, oil prices have been under pressure this year due to worries about slowing demand in major markets like China and the US. The International Energy Agency (IEA) highlighted these concerns, noting that global oil demand growth is cooling, particularly as China’s economy weakens. The IEA also forecasted a potential supply surplus in 2024, even if OPEC+ extends its production cuts. This scenario suggests that while short-term factors like Francine can temporarily lift prices, broader economic concerns, especially related to China, continue to weigh on the market, leaving it vulnerable to further declines.

Oil Rises for 2nd Session

Rice increased to a 9-week high of 15.53 USD/cwt. Over the past 4 weeks, Rice gained 3.61%, and in the last 12 months, it decreased 3.78%.

Rice Hits 9-week High

Oat increased to a 14-week high of 365.00 USd/Bu. Over the past 4 weeks, Oat gained 14.52%, and in the last 12 months, it decreased 30.28%.

Oat Hits 14-week High

US natural gas futures rose above $2.3/MMBtu, near a two-month high, after the EIA reported a smaller-than-expected storage build of 40 billion cubic feet, below the 49 bcf forecast. Despite the smaller build, storage levels remain 9.6% above the five-year average, reflecting a supply surplus. Traders are also weighing the impact of Hurricane Francine, which disrupted oil and gas production in the Gulf of Mexico. The storm hit southeast Louisiana, southern Mississippi, and Alabama, causing flooding, power outages, and reduced gas demand due to limited flows to LNG export facilities. Louisiana hosts three of the seven major US LNG export plants, and feedgas flows to these facilities are expected to drop further as companies pull back operations amid the storm.

US Natgas Prices Near 2-Month High

The Baltic Exchange's main sea freight index, which tracks rates for ships ferrying dry bulk commodities, fell about 1.8% to a one-week low of 1,927 points on Thursday, erasing yesterday's gains, weighed down by the bigger size segment. The capesize index, which typically transports 150,000-ton cargoes, such as iron ore and coal, dropped 4.4% to 3,225 points. Meanwhile, the panamax index, which usually carries about 60,000-70,000 tons of coal or grain cargo, rose by 3.4% to 1.402 points; and the supramax index added 4 points at 1.263 points.

Baltic Dry Index Down to 1-Week Low

Palladium decreased 11.63% to 892.5 USD/t.oz

Palladium is down by 11.63%

Gold increased to an all-time high of 2532.00 USD/t.oz. Over the past 4 weeks, Gold gained 2.61%, and in the last 12 months, it increased 32.64%.

European natural gas futures dropped below €35.5 per megawatt-hour, near six-week lows, as stable supplies from Russia via Ukraine and Norway eased market concerns. Europe's storage sites are 93% full, providing a buffer against potential winter disruptions. Prices had risen by 1.5% on Wednesday due to worries about the impact of Hurricane Francine on U.S. LNG exports and an extended maintenance at Norway's Kollsnes plant. Initial fears of reduced Russian gas flows through Ukraine were quelled as Gazprom confirmed it would send 42.4 mcm on Thursday, in line with recent volumes.

European Natural Gas Futures Fall Toward 6-Week Low

Wind Energy Index increased to a 6-week high of 17.10 USD. Over the past 4 weeks, Wind Energy Index gained 2.89%, and in the last 12 months, it increased 12.5%.

Wind Energy Index Hits 6-week High

Silver climbed toward $29 per ounce, extending recent gains in the lead up to expected interest rate cuts from major central banks. The European Central Bank is widely expected to lower rates again on Thursday, while markets will look for clues on whether the ECB will leave the door open to cuts in October and December as well. The Federal Reserve is also anticipated to start easing policy when it meets next week and is expected to deliver a smaller 25 basis point rate cut following a mixed US inflation report for August. Elsewhere, investors continued to assess the demand outlook in top consumer China following a mixed set of economic data, as well as trends in the renewable energy sector which utilizes silver in solar panels.

Silver Climbs Ahead of Expected Rate Cuts

Copper futures climbed above $4.12 per pound, hitting an over one-week high amid signs of improving demand in top consumer China. Data pointed to declining copper inventories in Shanghai Futures Exchange warehouses in recent weeks, reversing rises seen in July. Analysts suggested that a sudden surge in electric vehicle sales may have contributed to the recent trend. Markets also noted a rise in premiums for refined metal in China. Copper prices also benefited from a broad rebound in risk assets including global stock markets, commodities and risk-sensitive currencies. Those moves came even after a mixed US inflation report cemented expectations that the Federal Reserve will opt for a smaller 25 basis point rate cut next week.

Copper Gains on Signs of Improving Demand

Malaysian palm oil futures slipped over 1% to below MYR 3,860 per tonne after hitting as high as MYR 3,951 in the prior session, pressured by losses in soybean oil on the CBoT ahead of the USDA's monthly crop data. Meanwhile, the latest figures from a Malaysian industry regulator showed that inventories at the end of August hit a 6-month peak, driven by modest production growth and weak exports. In India, the world’s largest buyer of vegetable oils, the government is considering an increase in import taxes on commodities, including palm oil, to protect farmers from declining oilseed prices. The country's palm oil purchases plunged 27% mom in August, on ample stock levels. Capping the slump was a rise in crude oil prices amid concerns that Storm Francine could affect output in the US. Traders are now awaiting a revision of palm oil export levies and duties in Indonesia, as the world's largest palm oil grower may reduce export duties to improve competitiveness and boost farmers' income.

Palm Oil Retreats to Trade Below MYR 3,860

Gold steadied near $2,510 per ounce on Thursday as markets continued to assess the latest US consumer inflation data and raise bets of a smaller rate cut by the Federal Reserve next week. The monthly core CPI unexpectedly rose by 0.3%, whereas investors had anticipated a 0.2% increase. Meanwhile, the annual headline inflation rate slowed more than expected to 2.5%, and the core rate held steady at 3.2%, as anticipated. Markets now foresee an 85% chance of a 25 basis points cut at next week’s Fed meeting, up from around 70% prior to the release, as per the CME FedWatch tool. Less restrictive monetary policy benefits gold by reducing the opportunity cost of holding non-interest-bearing bullion assets. Investors will now focus on the US producer price index and initial jobless claims reports scheduled for later in the day for further insights.

Gold Steady on Prospects of Smaller US Rate Cut

Brent crude oil futures rose toward $71 per barrel on Thursday, loosely holding onto gains from the previous session, as supply setbacks from the Gulf storm slightly outweighed ongoing demand concerns. Hurricane Francine's landfall in southern Louisiana on Wednesday led to the shutdown of offshore platforms in the US Gulf of Mexico and disrupted refinery operations along the coast. However, Francine is expected to weaken rapidly as it moves through Louisiana. Meanwhile, the market retained a bearish tone as concerns over a weak demand outlook continued to weigh on sentiment. EIA data showed that US crude stocks rose by 0.83 million barrels last week, below the forecast of 1 million, but marking the first stock build since the week ending August 9th. Further pressuring prices were expectations of increased supply entering the market. Traders are now awaiting the IEA's monthly report this week for further insights into the demand outlook.

Brent Holds Gains on Supply Setbacks

WTI crude oil futures rose to around $67.5 per barrel on Thursday, loosely holding onto gains from the previous session, as supply setbacks from the Gulf storm slightly outweighed ongoing demand concerns. Hurricane Francine's landfall in southern Louisiana on Wednesday led to the shutdown of offshore platforms in the US Gulf of Mexico and disrupted refinery operations along the coast. However, Francine is expected to weaken rapidly as it moves through Louisiana. Meanwhile, the market retained a bearish tone as concerns over a weak demand outlook continued to weigh on sentiment. EIA data showed that US crude stocks rose by 0.83 million barrels last week, below the forecast of 1 million, but marking the first stock build since the week ending August 9th. Further pressuring prices were expectations of increased supply entering the market. Traders are now awaiting the IEA's monthly report this week for further insights into the demand outlook.

Oil Holds Gains on Supply Setbacks

Brent crude oil futures rose by 2% to settle at $70.6 on Wednesday, recovering some ground after hitting a near three-year low in the prior session. Tuesday’s sharp decline followed OPEC’s decision to lower its demand growth forecast for the second time in two months, alongside slowing crude oil imports from China in 2024. Still, oil prices remained near their lowest point since May 2023, despite a smaller-than-expected inventory build. US crude inventories rose by 0.83 million barrels, below the anticipated 1 million, while gasoline and distillate stocks rose more than expected. Additionally, the EIA reduced its oil price projections for Q4 and 2025 after OPEC’s continued downward revisions in demand forecasts. Concerns persist over weakening demand in key markets, particularly China, where the rise of electric vehicles has dampened consumption. Meanwhile, Hurricane Francine is strengthening in the western Gulf of Mexico and poses a threat to refinery operations along the Gulf Coast.

Brent Settles Above $70

WTI crude oil futures gained 2.4% to settle at $67.3 on Wednesday, recovering some ground after hitting a near three-year low in the prior session. Tuesday’s sharp decline followed OPEC’s decision to lower its demand growth forecast for the second time in two months, alongside slowing crude oil imports from China in 2024. Still, oil prices remained near their lowest point since May 2023, despite a smaller-than-expected inventory build. US crude inventories rose by 0.83 million barrels, below the anticipated 1 million, while gasoline and distillate stocks rose more than expected. Additionally, the EIA reduced its oil price projections for Q4 and 2025 after OPEC’s continued downward revisions in demand forecasts. Concerns persist over weakening demand in key markets, particularly China, where the rise of electric vehicles has dampened consumption. Meanwhile, Hurricane Francine is strengthening in the western Gulf of Mexico and poses a threat to refinery operations along the Gulf Coast.

Oil Prices Rebounds to Near $68

US natural gas futures climbed above $2.27 per MMBtu, nearing the two-month high of $2.275 reached on September 6th, driven by rising seasonal demand, record LNG exports, and China's growing adoption of natural gas in transportation. Despite US production reaching record highs, anticipated demand growth, particularly from power generation and industrial sectors, is set to tighten market conditions. While inventories remain slightly above average, potential supply disruptions from Gulf Coast storms and increasing export volumes could swiftly erode these stockpiles, adding further upward pressure on prices.

Natural Gas Near 2-Month Highs

Brent crude oil futures eased gains to trade around $69 per barrel on Wednesday, not far from their lowest level since May 2023, after the EIA reported a smaller-than-expected inventory build. US crude stocks rose by 0.833 million barrels, below the forecast of 1 million, while gasoline and distillate stocks increased by more than anticipated. Moreover, the EIA cut its oil price estimates for the fourth quarter and 2025, following OPEC's second consecutive monthly reduction in its demand projections. There are ongoing worries about softening demand from top oil markets, particularly in China, as consumption has been strained by the higher use of electric vehicles. Meanwhile, Francine has strengthened into a Category 1 hurricane in the western Gulf of Mexico and is expected to intensify further before making landfall in Louisiana, posing a threat to refinery operations along the Gulf Coast.

Oil Steadies after EIA Data

WTI crude oil futures pared gains to trade around $66 per barrel on Wednesday, not far from their lowest level since May 2023, after the EIA reported a smaller-than-expected inventory build. US crude stocks rose by 0.833 million barrels, below the forecast of 1 million, while gasoline and distillate stocks increased by more than anticipated. Moreover, the EIA cut its oil price estimates for the fourth quarter and 2025, following OPEC's second consecutive monthly reduction in its demand projections. There are ongoing worries about softening demand from top oil markets, particularly in China, as consumption has been strained by the higher use of electric vehicles. Meanwhile, Francine has strengthened into a Category 1 hurricane in the western Gulf of Mexico and is expected to intensify further before making landfall in Louisiana, posing a threat to refinery operations along the Gulf Coast.

Oil Pares Gains after EIA Data

Heating oil futures in the US fell to around $2.05 per gallon in September, their lowest level since August 2021, amid a broader oil market slump driven by weakening fuel demand and rising supply. The latest EIA report showed a significant increase in distillate stockpiles, up by 2.308 million barrels for the week ending September 6th, surpassing expectations and highlighting reduced demand. The report also noted a decline of 0.439 million barrels in products supplied, a key demand indicator, underscoring waning consumption. These developments align with OPEC's downward revision of global demand forecasts, with 2024 growth now projected at 2 million bpd, a reduction of 80,000 bpd, and 2025 growth at 1.7 million bpd, down by 40,000 bpd. Concerns about potential OPEC+ production hikes in December and a possible surplus in 2025 further pressured prices. However, a 0.695 million barrel draw in heating oil inventories slightly offset the decline.

Heating Oil Drops to 2-Year Low

US cotton futures climbed above 69 cents per pound, up from a recent three-week low of 66.9 cents per pound, amid growing concerns over potential crop damage from weather disruptions. The market reacted to the looming threat of Tropical Storm Francine impacting key cotton-growing regions along the US Gulf Coast. Meanwhile, the latest USDA crop progress report showed a decline in cotton quality and a slow harvest rate, supporting an upward price trend. Simultaneously, traders were also concerned about severe flooding in India, Bangladesh, and northern China, caused by heavy rains, which could impact cotton supply and demand.

Cotton Futures on the Rise

Natural gas increased to an 8-week high of 2.30 USD/MMBtu. Over the past 4 weeks, Natural gas gained 4.79%, and in the last 12 months, it decreased 23.92%.

Natural gas Hits 8-week High

Cocoa is up by 18.02%

The Baltic Exchange's main sea freight index, which tracks rates for ships ferrying dry bulk commodities, rose about 1.1% to 1,963 points on Wednesday, after falling by 0.9% in the prior session, bolstered by the larger vessel segments. The capesize index, which typically transports 150,000-ton cargoes, such as iron ore and coal, advanced 1% to 3,375 points; and the panamax index, which usually carries about 60,000-70,000 tons of coal or grain cargo, surged by 3% to 1,356 points. "Ships in the capesize and panamax segments have benefited most from China volume growth with their cargo volumes increasing 6% and 11% year-on-year, respectively.", said Filipe Gouveia, an analyst at BIMCO. Among smaller vessels, the supramax added 1 point to 1,259 points.

Baltic Dry Index Rebounds

Cocoa futures traded around $8,560 per tonne, hovering near their lowest levels since early August, as traders remained focused on the supply outlook. Expectations are rising that the price hike from Ghana's cocoa regulator to farmers will discourage them from withholding supplies and encourage further investment in production, ultimately increasing global supply. Still, worries persist about the current season, as poor weather conditions and numerous plant diseases in key producers, Ivory Coast and Ghana, are causing extensive crop damage. The International Cocoa Organisation in late August raised its global cocoa deficit forecast for the 2023/24 season (October-September) to 462,000 tonnes from 439,000 tonnes seen previously.

Cocoa Futures Hover 1-Month Lows

Methanol decreased to a 13-month low of 2303.00 CNY/T. Over the past 4 weeks, Methanol lost 2.81%, and in the last 12 months, it decreased 7.33%.

Methanol Hits 13-month Low

Prices of iron ore cargoes with a 62% iron content held steady above $91 as investors continued to assess the outlook for Chinese steel demand, with September typically seen as a peak season for steel consumption in the country. Data earlier this week showed that China’s exports grew at the fastest pace in nearly 1-½ years in August as manufacturers wanted to get ahead of increasing tariffs from a growing number of trade partners. Meanwhile, imports missed forecasts amid soft domestic demand. Analysts also noted that the country’s steel exports continued to offset weak domestic consumption, although local demand is expected to pick up ahead of the northern winter. Elsewhere, private data showed that iron ore shipments from Australia and Brazil broke a three-week advance, falling 10.8% week-on-week during the Sept. 2-8 period.

Iron Ore Holds Steady as China Outlook Mulled

Malaysian palm oil futures were little changed, hovering around MYR 3,885 per tonne after declines in the preceding three sessions, as weakness in soybean oil prices on the CBoT countered a modest rise in crude oil prices. At the same time, traders continued to analyze monthly data from the Malaysian Palm Oil Board. Inventories in the world's second-largest producer rose more than expected, reaching a six-month high in August. Meanwhile, production increased by 2.87% from the previous month to 1.89 million tons while exports fell by 9.74% to 1.53 million tons. In Indonesia, the top palm oil producer, data from the statistics agency indicated that palm oil production has stagnated, with annual growth of less than 1% since 2020. Meanwhile, Jakarta plans to increase the biodiesel blend mandate to 40% starting next year. In addition, President-elect Prabowo Subianto has set an ambitious target to introduce a B50 biodiesel blend within the next five years.

Palm Oil Muted

Gold steadied near $2,520 per ounce on Wednesday as markets braced for the US inflation report later in the day for clarity on the potential extent of the Federal Reserve’s rate cut. The jobs report last week provided limited insights following a mixed report, with the US economy adding fewer jobs than expected, while the unemployment rate edged lower. The annual inflation rate in the US is forecasted to slow for a fifth consecutive month to 2.6% in August, down from 2.9% in July, while the monthly inflation rate is estimated to remain unchanged at 0.2%. Markets now anticipate a 67% chance of a 25 bps cut at next week’s Fed meeting, with a 33% chance of a 50 bps reduction, as per the CME FedWatch tool. Less restrictive monetary policy benefits gold by reducing the opportunity cost of holding non-interest-bearing bullion assets. Traders also closely watched the first debate between US presidential candidates Kamala Harris and Donald Trump in anticipation of the November election.

Gold Flat Ahead of US Inflation Report

Brent crude oil futures rose to around $69.6 per barrel on Wednesday, slightly rebounding from its lowest level since December 2021, supported by fears of supply disruptions from the Gulf storm. Francine has strengthened into a Category 1 hurricane in the western Gulf of Mexico and is expected to intensify further before making landfall in Louisiana, posing a threat to refinery operations along the Gulf Coast. Additionally, API data showed that US crude stocks unexpectedly fell by 2.79 million barrels last week, defying market forecasts of a 0.7 million barrel rise. However, a bearish tone remained in the market, as a weak demand outlook weighed on sentiment. The EIA cut its oil price estimates for the fourth quarter and 2025, following OPEC's second consecutive monthly reduction in its demand projections. Moreover, there are ongoing worries about softening demand from top oil markets, particularly in China, as consumption has been strained by the higher use of electric vehicles.

Brent Rises on Prospects of Supply Disruptions

WTI crude oil futures rose to around $66.2 per barrel on Wednesday, slightly rebounding from its lowest level since May 2023, supported by fears of supply disruptions from the Gulf storm. Francine has strengthened into a Category 1 hurricane in the western Gulf of Mexico and is expected to intensify further before making landfall in Louisiana, posing a threat to refinery operations along the Gulf Coast. Additionally, API data showed that US crude stocks unexpectedly fell by 2.79 million barrels last week, defying market forecasts of a 0.7 million barrel rise. However, a bearish tone remained in the market, as a weak demand outlook weighed on sentiment. The EIA cut its oil price estimates for the fourth quarter and 2025, following OPEC's second consecutive monthly reduction in its demand projections. Moreover, there are ongoing worries about softening demand from top oil markets, particularly in China, as consumption has been strained by the higher use of electric vehicles.

Oil Rises on Prospects of Supply Disruptions

Corn decreased to a near 4-year low of 378.00 USd/BU. Over the past 4 weeks, Corn lost 5.42%, and in the last 12 months, it decreased 21.82%.

Corn Hits Near 4-year Low

Soybean futures dropped below $10 per bushel, marking a one-week low, as stronger-than-anticipated U.S. crop ratings boosted production outlooks, easing worries about recent dry weather. Soybeans fell after the USDA in its latest weekly crop progress report kept its good-to-excellent score for the U.S. soybean crop unchanged at 65%, contrary to market expectations for a decline.This indicates that observers remain impressed with this year's crop performance, sparking concerns that the USDA may increase its yield estimates. However, analysts surveyed by Reuters ahead of Thursday's monthly reports generally expect the government to leave its 2024 U.S. soybean yield forecast unchanged at 53.2 bushels per acre, with projections ranging from 52.0 to 54.9 bushels.

Soybean Falls to 1-Week Low

Heating oil futures in the US dropped to around $2.05 per gallon in September, reaching their lowest level since November 2021 amid a broader oil market downturn driven by diminished fuel demand. OPEC recently revised its global demand forecasts, expecting 2024 growth of 2 million bpd, a decrease of 80,000 bpd, and 2025 growth of 1.7 million bpd, down by 40,000 bpd. Additionally, concerns about potential OPEC+ production increases in December and the possibility of a surplus in 2025 are contributing to the decline. The latest EIA report also highlighted a notable rise of 0.939 million barrels in heating oil inventories for the week ending August 30th, counteracting much of the previous week’s over 1 million barrel draw and further pressuring heating oil prices.

Heating Oil Plunge to November-2021 Lows

European natural gas futures fell over 6% to below €35 per megawatt-hour on Tuesday afternoon, hitting a six-week low as prices tracked declines in oil, despite initial support from cooler weather and lower LNG supply from the US. Prices had briefly neared €38, boosted by a drop in wind output and lower temperatures in Britain and north-west Europe, but gains were reversed amid profit-taking and low trading volumes. Maintenance at Norwegian infrastructure continues to limit supply, with gas exports to Europe and Britain steady at a reduced 190 million cubic metres. In the US, Tropical Storm Francine is expected to strengthen into a hurricane, potentially disrupting oil and gas production as well as LNG export operations. Feedgas flows to Louisiana’s Cameron LNG facility have already declined. Meanwhile, oil prices fell sharply as weaker demand outlooks and fears of oversupply outweighed concerns about potential supply disruptions from the Gulf of Mexico due to storm-related shutdowns.

European Natgas Prices Pull Back to 6-Week Low

Brent crude oil futures dropped over 3% below $70 per barrel on Tuesday, approaching their lowest level since November 2021, after OPEC cut its demand forecasts for the second time in two months. OPEC now expects global oil demand to grow by 2 million barrels per day (bpd) in 2024, which is 80,000 bpd lower than its previous estimate. For 2025, OPEC revised its demand growth forecast to 1.7 million bpd, down by 40,000 bpd from earlier projections. These cuts are driven by weaker oil consumption in China, especially as the rise in electric vehicle sales reduces traditional fuel demand. The prospect of OPEC+ increasing production in December adds further pressure, with analysts predicting a potential surplus in 2025. Despite the overall bearish tone, losses were somewhat limited by concerns over Tropical Storm Francine, which threatens oil and gas production as well as refinery operations along the Gulf Coast.

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Palm Oil Set to End Week on Downbeat Note

Gold Sets New Record High

Brent Rises for 3rd Straight Session

Oil Rises for 3rd Straight Session

Soybeans Hits 4-week High

Gold Hits All-time High

Silver Rallies on Rate-Cut Optimism

Gold Hits New Record

Canola Hits Near 4-year Low

Palladium Hits 10-week High

Platinum Hits 6-week High

Natural gas is up by 5.03%

Brent Rises amid Storm Francine

Oil Rises for 2nd Session

Rice Hits 9-week High

Oat Hits 14-week High

US Natgas Prices Near 2-Month High

Baltic Dry Index Down to 1-Week Low

Palladium is down by 11.63%

Gold Hits All-time High

European Natural Gas Futures Fall Toward 6-Week Low

Wind Energy Index Hits 6-week High

Silver Climbs Ahead of Expected Rate Cuts

Copper Gains on Signs of Improving Demand

Palm Oil Retreats to Trade Below MYR 3,860

Gold Steady on Prospects of Smaller US Rate Cut

Brent Holds Gains on Supply Setbacks

Oil Holds Gains on Supply Setbacks

Brent Settles Above $70

Oil Prices Rebounds to Near $68

Natural Gas Near 2-Month Highs

Oil Steadies after EIA Data

Oil Pares Gains after EIA Data

Heating Oil Drops to 2-Year Low

Cotton Futures on the Rise

Natural gas Hits 8-week High

Cocoa is up by 18.02%

Baltic Dry Index Rebounds

Cocoa Futures Hover 1-Month Lows

Methanol Hits 13-month Low

Iron Ore Holds Steady as China Outlook Mulled

Palm Oil Muted

Gold Flat Ahead of US Inflation Report

Brent Rises on Prospects of Supply Disruptions

Oil Rises on Prospects of Supply Disruptions

Corn Hits Near 4-year Low

Soybean Falls to 1-Week Low

Heating Oil Plunge to November-2021 Lows

European Natgas Prices Pull Back to 6-Week Low

Brent Crude Oil Drops Below $70