https://www.globalmacroresearch.com/wp-content/uploads/2016/06/50-Park-Capital-white-background-LOGO.jpg 0 0 email@example.com https://www.globalmacroresearch.com/wp-content/uploads/2016/06/50-Park-Capital-white-background-LOGO.jpg firstname.lastname@example.org 16:57:352013-09-27 16:57:35Adam Sarhan Reuters Quote: COMMODITIES-Gold, wheat rally; commods in for year’s best quarter
By Barani Krishnan
NEW YORK, Sept 27 (Reuters) – Gold and wheat rallied on
Friday and a few other commodities rose slightly, adding to what
was shaping to be the sector’s best quarterly performance in a
year when the third quarter closes next week.
The spot price of gold rose 1 percent as jitters over
the U.S. budget and the outlook for Federal Reserve policy
boosted the safe-haven appeal of bullion.
Benchmark copper on the London Metal Exchange rose
0.7 percent, on improved demand from top buyer China.
Wheat also gained 0.7 percent, hitting 2-month highs,
on data showing brisk U.S. exports of the grain.
Benchmark Brent crude oil fell as supply risk
concerns in the Middle East continued to diminish from fewer
tensions in the region.
Other commodities that closed down were raw sugar,
which plunged the most in nearly a year amid worries about a
glut, and robusta coffee, which hit 3-year lows.
The Thomson Reuters-Jefferies CRB index, a closely
followed indicator for commodities prices, finished flat after
two sessions of gains and two sessions of losses during the
week. The index was on track to end the quarter up 4 percent,
its most since an 8 percent rise in the third quarter of 2012.
“There are many factors from geopolitics to supply scares
that could be pinned on this rally, but I think the main driver
was the weak dollar,” said Adam Sarhan, founder of Sarhan
Capital, an investment advisory firm in New York.
The dollar fell nearly 3.5 percent against a basket of
currencies over the past three months, for the currency’s worst
performance since the first quarter of 2011. A weak dollar
almost always boost commodities priced in the currency.
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