copper

Quarterly Market Review – Q1 2016

Posted on April 5, 2016 at 2:33 pm GMT

The first three months of 2016 saw the unwelcome return of the turbulence that had marred financial markets in the summer of 2015. Equity indices across the globe saw sharp losses accompanied by high volatility. Major currencies were also exposed to unusual fluctuations as safe-haven currencies were back in demand. It was also a busy quarter for central bank activity, particularly from the European Central Bank and the Bank of Japan. But it was the changing tone of the Fed [..]

Asian Session – Oil prices stabilize; major currencies stuck in tight ranges in light holiday trading

Posted on December 29, 2015 at 8:17 am GMT

Oil prices stabilized on Tuesday following yesterday’s 3.6% slump. US oil futures were up 0.7% at $36.92 a barrel in late Asian session. Oil’s rebound helped Asian equities move higher and China’s main indices were up almost 1% in late Asian trading after starting the session in negative territory. Chinese shares fell by around 2.5% yesterday after weak industrial profits data renewed concerns about China’s economy. However, equities were supported today after the country’s central bank pledged on Monday to [..]

Asian Session – Yen firmer after BoJ disappoints with changes to its QE program

Posted on December 18, 2015 at 8:13 am GMT

The Bank of Japan took markets by surprise by expanding the range of assets it will purchase under its quantitative easing program. At its latest monetary policy meeting, the Bank decided to set aside 300 billion yen from its existing QE fund to purchase exchange-traded funds issued by firms with the aim of encouraging companies to invest more and increase wages. The Bank of Japan also decided to increase the maturity of Japanese government bonds that it purchases from 10 [..]

Asian Session – Dollar eases after touching 8-month high; aussie slides on weak capex

Posted on November 26, 2015 at 12:21 pm GMT

The US dollar climbed to an 8-month high on Wednesday after a set of key economic indicators came in broadly positive, reiterating expectations that the Federal Reserve will raise interest rates in December. The dollar index, which measures the value of the dollar against a basket of other currencies, peaked at 100.17 – the highest level since March. US durable goods orders data out yesterday rose more than expected by 3.0% month-on-month in October. Initial weekly jobless claims were also [..]

Dollar strength, China concerns push metals to multi-year lows as oil tests $40

Posted on November 23, 2015 at 3:54 pm GMT

The commodities rout continues to haunt metal prices such as copper, iron ore, nickel and zinc, which have all plummeted to multi-year lows in recent days. The strong dollar is one of the reasons commodity prices continue to come under pressure as the two have traditionally shared an inverse relationship (see graph). This is because the majority of commodities are priced in dollars so when the value of the dollar goes up, it will require fewer dollars to buy commodities. Another [..]

European Session – Oil rebound helps commodity currencies; dollar falls on factory orders

Posted on August 4, 2015 at 2:29 pm GMT

Oil prices rebounded on Tuesday after falling to a 6-month low on Monday as the global supply glut weighed on prices. Brent crude futures fell below $50 a barrel for the first time since January, but a steady recovery on Tuesday helped it climb by 1.6% to $50.30 in late European session. Other commodity prices such as copper and gold were boosted from the higher oil prices and a muted dollar. Copper prices were 1% higher at $237, while gold [..]

Forex News – China’s slowing growth fears takes toll on copper prices and AUD

Posted on March 12, 2014 at 11:54 am GMT

Concerns are growing about China’s growth this year after the nation’s trade balance data for February were released earlier this week, being the latest in a series of poor data releases recently. Manufacturing PMIs have been no better for months. The slowing pace of growth in the world’s second largest economy has taken a toll on copper prices, the reason being that China is a major consumer of copper. Also, the commodity is being used as collateral to raise financing [..]

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