Wind Energy Index decreased to a 46-week low of 263.33 USD

Wind Energy Index Hits 46-week Low

Malaysian palm oil futures were below MYR 3,700 per ton, approaching their lowest level in three months while pointing to the third straight weekly losses, amid persistent weakness in rival oils which offset support from higher exports. Shipments of palm oil products from Malaysia for September 1-20 rose 2.4% from a month earlier, cargo surveyor Intertek Testing Services said. Another cargo surveyor, Amspec Agri, mentioned that exports grew by 1.8% during the same period. Meantime, inventory data showed that Malaysian palm oil jumped 22.5% mom at the end of August to a 7-month high of 2.12 million tons. Separately, Kuala Lumpur kept its October export tax for palm oil at 8% and slashed its reference price. In top producer Indonesia, the attorney general's office has launched a corruption investigation into the country's palm oil fund agency, which oversees the collection and distribution of export levies on the commodity.

Palm Oil Futures Hover at Near 3-Month Low

Brent crude futures rose toward $94 per barrel on Friday, hovering close to ten-month highs amid concerns that a Russian ban on fuel exports could tighten global oil supply further. The Russian government announced Thursday it will temporarily restrict exports of gasoline and diesel to stabilize fuel prices in the domestic market. The ban comes after exports of diesel from the country have fallen by nearly a third in the first two weeks of September. Official data also showed that US crude inventories fell by 2.135 million barrels last week, and stocks at Cushing were at their lowest since July 2022. Still, the international oil benchmark is on track to end the week little changed after facing pressure from the prospect of further US Federal Reserve interest rate hikes that could dampen economic growth and energy demand.

Brent Edges Higher on Supply Concerns

WTI crude futures rose above $90 per barrel on Friday, hovering close to ten-month highs amid concerns that a Russian ban on fuel exports could tighten global oil supply further. The Russian government announced Thursday it will temporarily restrict exports of gasoline and diesel to stabilize fuel prices in the domestic market. The ban comes after exports of diesel from the country have fallen by nearly a third in the first two weeks of September. Official data also showed that US crude inventories fell by 2.135 million barrels last week, and stocks at Cushing were at their lowest since July 2022. Still, the US oil benchmark is on track to end the week little changed after facing pressure from the prospect of further US Federal Reserve interest rate hikes that could dampen economic growth and energy demand.

Oil Edges Higher on Supply Concerns

Heating oil futures rose past $3.39 per gallon, holding near the 10-month high of $3.48 touched on September 14th amid persistent evidence of tight supply ahead of the northern winter season. Data from the EIA showed that heating oil stocks in the United States fell by 109 thousand barrels on the week ending September 15th. Additionally, elevated exports and lower refinery capacity drove stocks for distillate fuels to unexpectedly drop by 2.867 million barrels in the period, magnifying threats to supply. Earlier in the month, planned maintenance in key North American refineries drove distillate fuel production to drop by 120 thousand barrels per day, and disruptions are expected to hold until late October. Supply concerns for distillate fuels were compounded by the temporary export ban from key producer Russia, pressuring capacity for fuel refineries in the US and Europe.

Heating Oil Fututes Approaches 10-Month High

Platinum futures dropped towards the $920 mark, easing from the two-week high recorded on September 19th, pressured by renewed concerns about slowdown in demand after the hawkish tone from Fed. During the last meeting, the US' regulator raised a possibility of another rate hike in 2023 and noted rates would have to stay elevated longer, denting the metals appeal. On the other hand, China's stimulus measures, stricter emission standards, which require larger use of platinum in auto catalysts, and positive economic data kept the floor under the prices. According to the August report, the country's new electric vehicle sales have reached their highest since December 2022. As for the supply, the power issues in the world's largest miner, South Africa, have slightly eased on the month. For the year, the World Platinum Investment Council forecasted the platinum market to hit a deficit of over a million ounces, with demand jumping by 27 percent on an annual basis and supply remaining flat.

Platinum Futures Fall from Weekly Highs

US natural gas futures fell to below $2.7/MMBtu, after a federal report showing a storage build last week in line with estimates. According to EIA, US utilities added 64 billion cubic feet (bcf) of gas into storage last week, compared with market expectations of a 67 bcf billion increase. Preliminary data showed that gas production in September decreased to 102.1 billion cubic feet per day (bcfd), hitting a 10-week low of 100.6 bcfd on Thursday. Also, gas flows to US LNG export facilities have been on the rise, after Freeport LNG's facility in Texas returned to near full service over the past few days. Daily feedgas, however, was on track to fall to a three-week low of 11.6 bcfd on Thursday due to the shutdown of Cove Point LNG in Maryland for annual maintenance and a reduction at Cheniere Energy's LNG Sabine Pass in Louisiana.

US Natgas Prices Fall after EIA Report

Brent crude futures reversed early losses to trade around the $94 per barrel mark on Thursday, after Russia announced a ban on fuel exports, raising further concerns about tight supplies. The Russian government announced it will temporary restrict exports of gasoline and diesel to stabilize fuel prices on the domestic market. The ban comes after exports of diesel from the country have fallen by nearly a third in the first two weeks of September. Early in the session, oil prices were falling in response to a hawkish Fed and concerns that higher interest rates could potentially dampen demand. Meanwhile, official data showed that US crude inventories fell by 2.135 million barrels last week, and stocks at Cushing were at their lowest since July 2022

Brent Crude Back to $94

WTI crude futures reversed early losses to trade around the $90.7 per barrel mark on Thursday, after Russia announced a ban on fuel exports, raising further concerns about tight supplies. The Russian government announced it will temporary restrict exports of gasoline and diesel to stabilize fuel prices on the domestic market. The ban comes after exports of diesel from the country have fallen by nearly a third in the first two weeks of September. Early in the session, oil prices were falling in response to a hawkish Fed and concerns that higher interest rates could potentially dampen demand. Meanwhile, official data showed that US crude inventories fell by 2.135 million barrels last week, and stocks at Cushing were at their lowest since July 2022.

Oil Rebounds After Russia Ban

European natural gas futures rose above €38 per megawatt-hour on Thursday, after falling to as low as €35 earlier, on reports that US LNG flows to Louisiana's Sabine Pass plant dropped 18% in a day. US LNG has been vital for Europe amid reduced Russian pipeline gas. This price increase coincides with improving supply risk signals. Strikes at Australian LNG export facilities, mediated by regulators, are nearing resolution, potentially ending by Friday. Furthermore, Norwegian gas flows are improving due to the gradual restoration of gas production capacity at the Troll field. Despite recent price fluctuations, there are sufficient stockpiles of natural gas in the European market, and mild weather forecasts for October are expected to reduce demand for heating and energy.

EU Natural Gas Prices Rebound on US LNG Risks

The Baltic Exchange's main sea freight index, which measures the cost of shipping goods worldwide, fell by 15 points to 1,569 points on Thursday, snapping its 11-session winning streak that sent the main index to its highest since May 11th. The capesize index, which tracks vessels typically transporting 150,000-tonne cargoes such as iron ore and coal, also halted its 11-session rally, declining 2.9% to 2,007 points, marking its biggest daily decline since September 5th; and the panamax index, which tracks ships that usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, edged down by 11 points to 1,696 points. Among smaller vessels, the supramax index added 26 points, or 2%, to 1,350 points.

Baltic Exchange Dry Index Breaks 11-Session Rally

Solar Energy Index decreased to a 35-month low of 263.5 USD

Solar Energy Index Hits 35-month Low

Copper futures fell toward $3.6 per pound mark in September, the lowest since late May, amid renewed pressure from a strong dollar and weak industrial sentiment worldwide. Despite momentary rebounds in industrial growth and new loans in top consumer China, persistent concerns over the financial health of property developers maintained worries that the country’s precarious macroeconomic backdrop has yet to bottom. Meanwhile, the outlook of a hawkish Federal Reserve and mounting growth concerns in Europe continued to pressure industrial activity, as evidenced by months of contractionary manufacturing PMIs. Still, futures refrained from decreasing even further as market players flagged large incoming copper deficits, with current production levels failing to keep up with increasing demand for electrification. Output from Chilean state-owned Codelco sank by 14% in the first half of the year, stretching the 7% decline from 2022.

Copper Sinks to Over 3-Month Low

Zinc prices slid to around $2,500 a tonne, easing from the four-month high touched on September 14th, amid globally subdued demand outlook after the hawkish rhetoric from the Fed. On the other hand, expectations of reduced production and positive data and stimulus measures from top buyer China supported the appetite for the metal. The recent figures showed China took in 76,800 metric tons of zinc in July, the highest monthly tally since April 2019. As for the supply, China's domestic output of refined zinc this year has risen, but the market remained impacted by dwindling inventory levels and constrained time spreads. Meanwhile, small and medium-sized zinc mines, especially those in Europe and Australia, are facing challenges in profitability, due to high operating costs and sliding prices. Almina-Minas do Alentejo in Aljustrel was the latest zinc mine to undergo suspension until the second quarter of 2025.

Zinc Prices Lower to $2,500

Raw sugar futures in the US eased to below 26.8 cents per pound, halting the rally that lifted prices to the 12-year high of 27.5 on September 19th, and tracking similar movements from oil benchmarks. The developments slightly eased concerns that the outlook of more expensive fuel drove cane crushers to favor the allocation of sugarcane crops to biofuel blending instead of raw sugar production, allowing for some respite in supply. Still, sugar prices remain over 30% higher year-to-date, lifted by worries of lower exports in India. Insufficient rainfall in the country’s key producing states exacerbated poor growing conditions for next season’s crop. The current drought added to concerns that El Nino will extend dryness for a prolonged period, driving cane yields to slump and potentially prompting the Indian government to limit sugar exports for the upcoming season, as it attempts to contain elevated food inflation in the country.

Sugar Eases from 12-Year High

Silver held around $23 per ounce, pressured by stronger dollar and higher Treasury Yields following the Fed's hawkish stance, as the regulator signaled one more hike and a slower monetary easing. Still, the renewed hopes in China's economic recovery after the positive data and central bank's measures supported the metal. Traders will now look ahead to more monetary decisions to assess the global outlook. Overall, solid industrial demand and tight supply continued to underpin the commodity, while efforts to curb carbon emissions sped up the development of solar panel technologies with higher conduction needs.

Silver Hovers Around $23

UK natural gas futures fell to 93 pence a therm, following a similar trend in the European benchmark mainly due to reduced supply concerns. Labor disputes at LNG export facilities in Australia, involving Chevron Corp. and labor unions, are nearing resolution through regulatory mediation, with a final deal expected on Friday. This resolution could potentially bring LNG export facilities back to normal operations. Additionally, Norwegian gas flows are improving as gas production capacity at the Troll field gradually restores. Weak demand in the UK and Europe, combined with higher imports of liquefied natural gas (LNG), is also putting downward pressure on natural gas prices. Looking ahead, British energy firm Centrica said it had increased storage capacity at the UK's largest gas storage facility to 54 billion cubic feet (bcf) to help boost resilience next winter.

UK Natural Gas Futures Decrease

Copper decreased to a 4-week low of 3.6755 USD/Lbs

Copper Hits 4-week Low

European natural gas futures fell below €36 per megawatt-hour, reversing from two consecutive sessions of gains, as supply concerns eased and demand remains weak. Ongoing labor disputes at LNG export facilities in Australia, involving Chevron Corp. and labor unions, are nearing resolution through regulatory mediation. The deal to resolve these labor disputes is expected to be finalized on Friday, potentially restoring normal operations at LNG export facilities. Furthermore, Norwegian gas flows are improving due to the gradual restoration of gas production capacity at the Troll field. Despite recent price fluctuations, there are sufficient stockpiles of natural gas in the European market, and mild weather forecasts for October are expected to reduce demand for heating and energy.

European Natural Gas Futures Fall

Gasoline futures in the United States continued their downward trend, dropping below $2.6 per gallon, the fifth consecutive session of losses and in line with the seasonal pattern observed during this time of year when there is typically reduced fueling up due to the back-to-school season and less favorable weather conditions. Additionally, WTI crude oil futures fell for a third consecutive day to below $89 per barrel, driven by concerns in the market regarding the possibility of another interest rate hike by the Federal Reserve. Despite the downward trend in gasoline, the latest report from the Energy Information Administration indicated an increase in gas demand. Gas demand increased from 8.307 to 8.410 million b/d in the week ending September 15th and total domestic gasoline stocks fell by 831 thousand bbl to 219.476 million bbl, compared with expectations for a 317-thousand-barrel increase.

Gasoline Futures Extend Losses for 5th Session

Malaysian palm oil futures were below MYR 3,700 per ton, lingering at their lowest level since September 12, amid weakness in rival oils which offset support from higher exports and a softer ringgit. Shipments of palm oil products from Malaysia for September 1-20 rose 2.4% from a month earlier, cargo surveyor Intertek Testing Services said. Another cargo surveyor, Amspec Agri, mentioned that exports grew by 1.8% during the same period. Meantime, inventory data showed that Malaysian palm oil jumped 22.5% mom at the end of August to a 7-month high of 2.12 million tons. Separately, Kuala Lumpur kept its October export tax for palm oil at 8% and slashed its reference price. Top exporter Indonesia set its crude palm oil reference price at $798.83 per ton for the September 16-30 period, down from $805.20 in the first half of the month. The new reference price puts the export tax and levy at $33 per ton and $85 per ton, respectively

Palm Oil Futures Trade at Over 1-Week Low

Gold weakened below $1,930 an ounce on Thursday, retreating further from multi-week highs amid a general dollar strength, as the US Federal Reserve delivered a hawkish pause. The US central bank left interest rates unchanged as widely expected, but signaled another rate hike before the end of the year. The Bank of England is also set to decide on monetary policy later today and investors remain split on whether the central bank will raise rates again or pause its tightening campaign amid easing UK inflation. The Bank of Japan will provide an update on monetary policy on Friday as well, with traders focusing on signs of a possible end to Japan’s policy of negative interest rates.

Gold Slips on Hawkish Fed Pause

Brent crude futures fell toward $93 per barrel on Thursday, sliding for the third straight session as the US Federal Reserve delivered a hawkish pause. The US central bank left interest rates unchanged as widely expected, but signaled another rate hike before the end of the year, raising concerns about global economic growth and energy demand. Other central banks are also set to announce monetary policy decisions on Thursday, headlined by an expected rate hike from the Bank of England. Meanwhile, official data showed that US crude inventories fell by 2.135 million barrels last week, broadly in line with expectations. Still, oil prices remain close to multi-month highs amid forecasts for a wider market deficit in the fourth quarter due to extended supply cuts from Saudi Arabia and Russia, as well as declining US oil output from top shale-producing regions.

Brent Slides for Third Session

WTI crude futures fell toward $89 per barrel on Thursday, sliding for the third straight session as the US Federal Reserve delivered a hawkish pause. The US central bank left interest rates unchanged as widely expected, but signaled another rate hike before the end of the year, raising concerns about global economic growth and energy demand. Other central banks are also set to announce monetary policy decisions on Thursday, headlined by an expected rate hike from the Bank of England. Meanwhile, official data showed that US crude inventories fell by 2.135 million barrels last week, broadly in line with expectations. Still, oil prices remain close to multi-month highs amid forecasts for a wider market deficit in the fourth quarter due to extended supply cuts from Saudi Arabia and Russia, as well as declining US oil output from top shale-producing regions.

Oil Slides for Third Session

Gold pared some of the early gains but remained around the $1940 an ounce level on Wednesday after the Fed kept the fed funds rate steady but signalled one more interest rate increase this year. Also, policymakers in the US revised their interest rate projections up for next year, reiterating the view that borrowing costs will stay higher for longer. Meanwhile, the Bank of England is set to decide on monetary policy tomorrow and investors remain split on whether the central bank will raise rates again or pause the rate-hike campaign. The Bank of Japan will also provide an update on monetary policy on Friday.

Gold Pares Some Gains after Fed

Heating oil futures were above $3.3 per gallon, holding near the 10-month high of $3.48 touched on September 14th amid persistent evidence of tight supply ahead of the northern winter season. Data from the EIA showed that heating oil stocks in the United States fell by 109 thousand barrels on the week ending September 15th. Additionally, elevated exports and lower refinery capacity drove stocks for distillate fuels to unexpectedly drop by 2.867 million barrels in the period, magnifying threats to supply. Earlier in the month, planned maintenance in key North American refineries drove distillate fuel production to drop by 120 thousand barrels per day, and disruptions are expected to hold until late October.

Heating Oil Futures Near 10-Month High

Gold rose above $1,940 an ounce on Wednesday, lifted by weakened dollar ahead of the US Federal Reserve’s monetary policy decision. The US central bank is widely expected to hold interest rates steady, but markets will focus on its economic projections and Fed Chair Jerome Powell’s remarks after the meeting for clues on the future path as higher energy prices raised concerns about inflationary risks. Investors also await the Bank of England’s interest rate decision on Thursday, where the regulator is projected to pause its tightening campaign. Moreover, the Bank of Japan will announce its policy decision on Friday amid speculations of a possible sooner-than-anticipated exit from ultra-easy monetary settings.

Gold Gains Closer to Fed's Decision

Rubber futures traded around 141 USD cents /kg, stepping back from the over seven-month high of 145.5 USD cents/kg reached on September 7th, mainly due to a subdued yen and ongoing concerns about the global economic landscape. Nevertheless, the demand outlook remained positive, supported by better-than-expected industrial and retail data from top consumer China, along with the prospect of Beijing implementing further support measures to stimulate economic recovery. Meanwhile, supply constraints persist in major producing countries, including Malaysia, Indonesia, and Thailand. According to the latest figures, Malaysia's natural rubber production in July 2023 decreased by 4.5% to 28,533 tonnes from the previous month.

Rubber Futures Lose Ground

Gasoline futures in the US pared losses to trade near $2.7 per gallon, following an unexpected inventory draw reported by the EIA. According to new data, gas demand increased from 8.307 to 8.410 million b/d last week. Meanwhile, total domestic gasoline stocks fell by 831 thousand bbl to 219.476 million bbl, compared with expectations for a 317-thousand-barrel increase. This contrasted with Tuesday's report from the API, which had shown a 732 thousand-barrel increase in US gasoline stocks. While gasoline prices have been declining, which is typical for this season due to reduced fueling up during back-to-school and less favorable weather periods, the elevated cost of oil has constrained the extent of the decrease in gasoline prices. The US oil benchmark has surged to above $92 per barrel, the highest in over ten months after the recent announcement made by Saudi Arabia and Russia, indicating an extension of their voluntary supply cuts.

Gasoline Futures Pare Losses after EIA Report

Brent crude futures fell below $94 per barrel on Wednesday, sliding for the second straight session as caution dominated sentiment ahead of the US Federal Reserve’s interest rate decision. Still, the international oil benchmark remained close to over ten-month highs after the EIA report showed that US crude inventories fell by 2.135 million barrels last week, broadly in line with market expectations of a 2.2 million draw. On Tuesday, the API report pointed for a bigger 5.25 million barrels decline. The US Energy Information Administration also said on Monday that US oil output from top shale-producing regions is on track to decline for the third straight month to 9.393 million barrels per day in October, the lowest since May. Moreover, Russia’s government is reportedly considering imposing export duties on all types of oil products of $250 per metric ton from Oct. 1 until June 2024 to counter fuel shortages, according to Reuters.

Brent Eases on Market Caution

WTI crude futures fell to $90 per barrel on Wednesday, sliding for the second straight session as caution dominated sentiment ahead of the US Federal Reserve’s interest rate decision. Still, the US oil benchmark remained close to over ten-month highs after the EIA report showed that US crude inventories fell by 2.135 million barrels last week, broadly in line with market expectations of a 2.2 million draw. On Tuesday, the API report pointed for a bigger 5.25 million barrels decline. The US Energy Information Administration also said on Monday that US oil output from top shale-producing regions is on track to decline for the third straight month to 9.393 million barrels per day in October, the lowest since May. Moreover, Russia’s government is reportedly considering imposing export duties on all types of oil products at $250 per metric ton from Oct. 1 until June 2024 to counter fuel shortages, according to Reuters.

Oil Eases on Market Caution

Oat decreased to a 5-week low of 430.25 USd/Bu

Oat Hits 5-week Low

The Baltic Exchange's main sea freight index, which measures the cost of shipping goods worldwide, advanced for the 11th straight session on Wednesday, rising 3.8% to its highest since May 11 at 1,584 points, amid stronger demand for all vessel segments. The capesize index, which tracks vessels typically transporting 150,000-tonne cargoes such as iron ore and coal, increased for the 11th straight session, surging 6.4% to a near three-month high of 2,067 points. "Recently, Capes have seen a boost on firmer activity in both the Atlantic and Pacific basins," analysts at Jefferies said. At the same time, the panamax index, which tracks ships that usually carry coal or grain cargoes of about 60,000 to 70,000 tonnes, rose 14 points to its highest since April 13 at 1,707 points; and the supramax index added 38 points, or 3% to 1,324 points.

Baltic Exchange Dry Index Up for 11th Session

Prices for iron ore cargoes with a 62% iron ore content for delivery in Tianjin were at $125 per tonne in September, the highest since March 31st, amid expectations of stronger demand in China. Anticipating potential regulations from Beijing on steel production, mills accelerated their production in the short term to preempt any impending restrictions, leading to a surge in demand for iron ore inputs. Also, JP Morgan raised target prices for the iron ore sector as Chinese steel demand remains resilient as infrastructure activity makes up for recent struggles for residential property constructors. In the meantime, the residential construction sector got a small boost from government measures to stimulate housing demand. The Chinese government eased mortgage curbs in Guangzhou and Shenzhen and allowed 12 provinces to issue CNY 1.5 trillion of special financing bonds.

62% Iron Ore Holds at 5-1/2-Month High

Prices for iron ore cargoes with a 63.5% iron ore content for delivery in Tianjin were at $123 per tonne, easing from the five-month-high of $125.5 per tonne from September 15th as markets weighed on uncertainty from Chinese property developers against robust infrastructure activity in the country. New missed bond payments by Country Garden triggered fresh fears of financial contagion within Chinese developers, hampering the outlook on construction materials. The developments occurred as markets digested fresh government measures to limit the sector’s contraction. Beijing eased mortgage curbs in Guangzhou and Shenzhen and allowed 12 provinces to issue CNY 1.5 trillion of special financing bonds. Steel mills were also seen increasing production in the short run to undercut potential output cuts from the government. Also supporting prices, JPMorgan raised target prices for the iron ore sector as China's robust infrastructure expansion limited drawbacks from lower property development.

Iron Ore Edges Down from 5-Month High

Lithium carbonate prices sank below CNY 180,000 per tonne in September, the lowest since the two-and-a-half-year low of CNY 165,000 in April, as a decline in demand for electric vehicles magnified pressure from elevated battery inventories for manufacturers. Battery manufacturers for new energy vehicles phased out input buying activity since the start of the third quarter as their inventories filled up and funds from previous government-led subsidies dried. The concerning macroeconomic backdrop for the Chinese economy also translated to low consumer spending for electric automobiles, driving 10 Chinese new-energy vehicle producers to offer price cuts to reduce the supply glut. Consequently, lower input demand resulted in a 10% reduction in battery prices in August, according to key market players. Additionally, further demand concerns emerged after the EU launched an investigation on predatory pricing for Chinese vehicles due to Beijing’s subsidies, risking tariffs and trade barriers

Lithium Extends Selloff

Uranium soared to over $65 per pound in September, extending gains for a 10th week to its highest since the Fukushima nuclear accident in 2011, supported by bets of strong demand from physical fund speculators. Signs of increased demand for nuclear fuel drove the Sprott Physical Uranium Trust to restart purchasing, lifting prices abruptly due to the market’s thin nature. Decarbonization goals and rising prices of fossil fuel energy drive major economies to increase bets on nuclear power production. China is expected to build another 32 nuclear reactors by the end of the decade, while Japan allowed plans to restart multiple plants and build new facilities. The developments coincide with renewed concerns about lower supply, with Canada’s Cameco, the world’s second-largest uranium miner, reducing its production guidance for the current year. Political turmoil in Niger also drove Orano to suspend operations in the country, while Western utilities continued to shun Russian nuclear fuel.

Uranium Soars to 12-Year High

Steel rebar futures edged below CNY 3,800 per tonne, retreating slightly from the five-month high of CNY 3,382 from September 19th as markets weighed on risks of financial contagion in China’s key property sector against robust demand for infrastructure and lower supply. After shoring up capital and restructuring credit deals to narrowly avoid default, missed payments for Country Garden renewed concerns over the financial health of China’s major property developers. Still, the outlook on resource demand remained supported by economic support measures from Beijing, aimed at softening the blow in demand for house buyers. Also, JPMorgan noted that steel usage in China shall remain pinned through financial concerns for property developers, as high levels of infrastructure building offset the poor confidence in residential sales. In the meantime, the latest data showed that crude steel output in China fell by a sharper-than-expected 4.8% month-on-month in August, also supporting prices.

Steel Eases from 5-Month High

Palladium increased to a 4-week high of 1282 USD/t.oz

Palladium Hits 4-week High

Gasoline futures in the US fell to $2.63 per gallon on Wednesday, extending losses for the fourth session after the API report pointed to another weekly increase in domestic inventories, while official inventory figures are scheduled for release later in the same day. The decrease in the number of people fueling up is a common trend during this time of year. According to the API's Weekly Statistical Bulletin, US gasoline stocks increased by 732 thousand barrels, following a 4.21 million barrel build in the preceding week. However, the elevated cost of oil is limiting the extent to which gasoline prices are decreasing, compared to what is typically seen. The US oil benchmark has surged to above $92 per barrel, the highest in over ten months after the recent announcement made by Saudi Arabia and Russia, indicating an extension of their voluntary supply cuts.

Gasoline Futures Down for 4th Session

US natural gas futures eased to $2.74/MMBtu from a five-week high of $2.87 as investors continue to monitor output levels and the amount of gas flowing to the country's LNG export plants. Preliminary data showed that gas production in September decreased to 102.2 billion cubic feet per day (bcfd), hitting a five-month low of 99.6 bcfd on Tuesday. Also, gas flows to US LNG export facilities have been on the rise, after Freeport LNG's facility in Texas returned to near full service over the past few days. On the other hand, cooler seasonal weather has led to reduced air-conditioning usage and a drop in short-term gas consumption. Meteorologists forecast the weather will remain relatively normal until around September 24, but from September 25 to October 3, it is expected to become warmer than usual.

US Natgas Prices Ease from 5-Week High

European natural gas futures traded around €37 per megawatt-hour on Wednesday, after rising almost 7% in the previous session as a result of a revision in the details of a planned outage at the Troll natural gas facility by Norwegian gas system operator Gassco. The modification to the outage included an expansion in the affected capacity, which increased from 95 million cubic meters (mcm) to 125 mcm. The scheduled outage is set to commence on September 20th and is expected to conclude on September 21st. Despite the recent price fluctuations, there are ample stockpiles of natural gas available in the European market. These stockpiles act as a crucial buffer against supply disruptions and price spikes. Furthermore, mild weather forecasts for October are anticipated to lead to reduced demand for heating and energy, which should help keep natural gas prices under control and prevent excessive price increases.

European Natural Gas Prices Volatile on Supply Concerns

TTF Gas increased to a 4-week high of 38.77 EUR/MWh

TTF Gas Hits 4-week High

UK Gas increased to a 4-week high of 99.17 GBp/thm

UK Gas Hits 4-week High

Malaysian palm oil futures were trading below MYR 3,750 per tonne for the third day, rattled by weak shipments and higher inventories. Exports of palm oil products from Malaysia for Sept. 1-15 fell 11.8% from a month earlier, cargo surveyor Intertek Testing Services said. Another cargo surveyor, Amspec Agri, mentioned that exports declined 9.3% during the first 15 days of September. Meantime, inventory data showed that Malaysian palm oil jumped 22.5% mom at the end of August to a 7-month high of 2.12 million tons. Separately, Kuala Lumpur kept its October export tax for palm oil at 8% and slashed its reference price. Limiting the downward momentum was the prospect of robust demand from China following a deal between Malaysian palm oil firm Sime Darby Oils and China’s Guangxi Beibu Gulf Intl. Meantime, top palm oil buyer India imported 1.13 million metric tons of palm oil in August, a 3.9% increase mom to the highest in 9 months, as the country is heading for a festive season.

Palm Oil Trade Below MYR 3,750 for 3rd Day

Gold was subdued around $1,930 an ounce on Wednesday as investors avoided making big bets ahead of the US Federal Reserve’s monetary policy decision, with higher energy prices raising concerns about inflationary risks. The US central bank is widely expected to hold interest rates steady, but markets will focus on its economic projections and Fed Chair Jerome Powell’s remarks after the meeting for clues on the path moving forward. Investors also await the Bank of England’s interest rate decision on Thursday, where it is expected to deliver its last rate hike in the current tightening cycle. Moreover, the Bank of Japan will announce its policy decision on Friday amid speculations of a possible sooner-than-expected exit from ultra-easy monetary settings.

Gold Subdued on Fed Caution

Brent crude futures fell toward $94 per barrel on Wednesday, sliding for the second straight session as caution dominated sentiment ahead of the US Federal Reserve’s interest rate decision. Still, the international oil benchmark remained close to over ten-month highs as industry data showed that US crude inventories fell by 5.25 million barrels last week, marking the fifth consecutive decline and exceeding forecasts for a 2.667 million barrel draw. The US Energy Information Administration also said on Monday that US oil output from top shale-producing regions is on track to decline for the third straight month to 9.393 million barrels per day in October, the lowest since May. Moreover, Russia’s government is reportedly considering imposing export duties on all types of oil products of $250 per metric ton from Oct. 1 until June 2024 to counter fuel shortages, according to Reuters.

WTI crude futures fell toward $90 per barrel on Wednesday, sliding for the second straight session as caution dominated sentiment ahead of the US Federal Reserve’s interest rate decision. Still, the US oil benchmark remained close to over ten-month highs as industry data showed that US crude inventories fell by 5.25 million barrels last week, marking the fifth consecutive decline and exceeding forecasts for a 2.667 million barrel draw. The US Energy Information Administration also said on Monday that US oil output from top shale-producing regions is on track to decline for the third straight month to 9.393 million barrels per day in October, the lowest since May. Moreover, Russia’s government is reportedly considering imposing export duties on all types of oil products of $250 per metric ton from Oct. 1 until June 2024 to counter fuel shortages, according to Reuters.

Natural gas decreased 5.02% to 2.705 USD/MMBtu

Natural gas is down by 5.02%

US natural gas futures rose past $2.8/MMBtu, the highest in two weeks, led by a decline in daily output and a rise in the amount of gas flowing to the country's LNG export plants. Preliminary data showed that gas production in September decreased to 102.2 billion cubic feet per day (bcfd), hitting a five-month low of 99.6 bcfd on Tuesday. Also, gas flows to US LNG export facilities have been on the rise, after Freeport LNG's facility in Texas returned to near full service over the past few days. On the other hand, cooler seasonal weather has led to reduced air-conditioning usage and a drop in short-term gas consumption. Meteorologists forecast the weather will remain relatively normal until around September 24, but from September 25 to October 3, it is expected to become warmer than usual.

Breaking News

Follow what's happening with real-time updates from around the world.

Wind Energy Index Hits 46-week Low

Palm Oil Futures Hover at Near 3-Month Low

Brent Edges Higher on Supply Concerns

Oil Edges Higher on Supply Concerns

Heating Oil Fututes Approaches 10-Month High

Platinum Futures Fall from Weekly Highs

US Natgas Prices Fall after EIA Report

Brent Crude Back to $94

Oil Rebounds After Russia Ban

EU Natural Gas Prices Rebound on US LNG Risks

Baltic Exchange Dry Index Breaks 11-Session Rally

Solar Energy Index Hits 35-month Low

Copper Sinks to Over 3-Month Low

Zinc Prices Lower to $2,500

Sugar Eases from 12-Year High

Silver Hovers Around $23

UK Natural Gas Futures Decrease

Copper Hits 4-week Low

European Natural Gas Futures Fall

Gasoline Futures Extend Losses for 5th Session

Palm Oil Futures Trade at Over 1-Week Low

Gold Slips on Hawkish Fed Pause

Brent Slides for Third Session

Oil Slides for Third Session

Gold Pares Some Gains after Fed

Heating Oil Futures Near 10-Month High

Gold Gains Closer to Fed's Decision

Rubber Futures Lose Ground

Gasoline Futures Pare Losses after EIA Report

Brent Eases on Market Caution

Oil Eases on Market Caution

Oat Hits 5-week Low

Baltic Exchange Dry Index Up for 11th Session

62% Iron Ore Holds at 5-1/2-Month High

Iron Ore Edges Down from 5-Month High

Lithium Extends Selloff

Uranium Soars to 12-Year High

Steel Eases from 5-Month High

Palladium Hits 4-week High

Gasoline Futures Down for 4th Session

US Natgas Prices Ease from 5-Week High

European Natural Gas Prices Volatile on Supply Concerns

TTF Gas Hits 4-week High

UK Gas Hits 4-week High

Palm Oil Trade Below MYR 3,750 for 3rd Day

Gold Subdued on Fed Caution

Brent Eases on Market Caution

Oil Eases on Market Caution

Natural gas is down by 5.02%

US Natgas Prices Rise to Over 2-Week High