Newswire: Commodities

Mid-week review of the commodity markets from Bloomberg's Commodity Section.

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Crude oil - $49.38 / barrel

Oil Rises as Government Shows Smaller U.S. Supply Gain Than API - Bloomberg Article

April 8 (Bloomberg) -- Crude oil rose for the first time in four days after a U.S. government report showed a smaller inventory gain than an industry report.

Supplies increased 1.65 million barrels to 361.1 million last week, the highest since July 1993, the Energy Department said today. Stockpiles were forecast to climb by 1.5 million barrels, according to a Bloomberg News survey. The industry- funded American Petroleum Institute yesterday said stockpiles jumped 6.94 million barrels to the highest since 1990.

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Gold - $885.90 / ounce
Silver - $12.34 / ounce

Gold Rises on Investor Demand for Store of Value; Silver Climbs - Bloomberg Article

April 8 (Bloomberg) -- Gold rose for a second straight day in New York as some investors purchased the metal to hedge against financial turmoil. Silver also gained.

The U.S. Treasury Department extended last year’s taxpayer- funded bank bailout to life insurers. Earlier, the bailout was broadened to include automakers and credit-card companies. Researcher GFMS Ltd. said yesterday that gold may reach a record this year as government spending raises inflation concerns.

“The reasons why investors bought gold -- fears of longer- term inflation and currency debasement -- remain intact,” John Reade, the head UBS AG metals strategist in London, said today in a report. Once gold prices have stabilized, “we expect bottom-fishers to begin the next cycle of investment,” he said.

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Copper - $4,400 / ton
Zinc - $1,365 / ton
Aluminum - $1,490 / ton
Lead - $1,335 / ton
Nickel - $10,925 / ton
Tin - $10,880 / ton

Copper Gains, Erasing Earlier Drop, in London as Shares Advance - Bloomberg Article

April 8 (Bloomberg) -- Copper advanced on the London Metal Exchange, erasing earlier declines, as shares rose on prospects government support will help automakers and banks.

The Dow Jones Stoxx 600 Index of European shares rebounded after dropping as much as 1.7 percent today, while the U.S. Dow Jones Industrial Average climbed. The Dollar Index, a measure of the currency against six counterparts, fell 0.2 percent. A weaker greenback cuts the cost of commodities priced in the dollar for holders of other currencies.

“A little bit of buying has crept through on the back of the Dow,” said James Roberts, a broker at Sucden Financial Ltd. in London. “The turnaround in prices is equity-driven.”



Mid-week review of the commodity markets from Bloomberg's Commodity Section.