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  • Gold rises to a new high as it probes over $1800- Precious metals higher across the board
  • Energy prices move to the upside
  • Recovery in grains as corn leads the way higher
  • Meats move higher- Coffee, sugar, and cotton higher, cocoa and FCOJ decline
  • Stocks higher- the dollar index edges to the downside

 

At the end of the holiday-shortened week, the employment report showed an increase of 4.8 million jobs in June and pushed the unemployment rate to 11.1% was welcome news for markets. Meanwhile, the potential for a return to a risk-off period increased with the number of coronavirus cases. Florida, Texas, and California, along with many other states, were reported a considerable increase in cases at the end of the week.

Happy fourth of July holiday to all! Stay safe and healthy!

Highlights in commodities:

  • August gold rose by 0.54% on the week, settling at $1790.00 per ounce
  • September silver rose 1.31% for the week as the precious metal settled at $18.322 per ounce on July 2
  • October platinum rallies 2.06% on the week. October platinum was at a $958.40 per ounce discount to August gold futures, which marginally narrowed since last week
  • September palladium rose 1.75% and settled at $1,927.60 per ounce. Rhodium was unchanged from last week at a midpoint of $6,800 per ounce
  • September copper was 2.59% higher to the $2.7485 level since June 26
  • August iron ore futures moved 2.67% lower over the past week
  • The BDI moved 4.23% gain higher since June 26 to the 1,823 level
  • August Rotterdam coal moved 0.98% higher since last week
  • September lumber was 3.35% higher since June 26 and was at the $438.30 per 1,000 board feet level
  • August NYMEX crude oil rose 5.61%. The August contract closed the week at $40.65 per barrel
  • September Brent crude oil moved 5.52% higher since last week to $43.19 per barrel
  • The premium for Brent over WTI in September closed Friday at the $2.43 level as the spread was up $0.13 per barrel since last week
  • August gasoline rose 8.84% while August heating oil futures posted a 6.99% gain over the past week
  • The gasoline crack spread in August was 25.05% higher since last week. August heating oil crack moved 15.91% to the upside since June 26 as gasoline and heating oil outperformed crude oil
  • Natural gas recovered 12.31% on the August futures contract closing the week at $1.734 per MMBtu. The EIA reported an injection of 65 bcf into storage on Thursday for the week ending on June 26
  • August ethanol rose 13.86% on the week on strength in gasoline
  • November soybeans moved 4.12% higher since last week
  • December corn was 8.69% higher on the week on strength in ethanol and gasoline
  • CBOT September wheat rose 3.42% since last week to $4.92 per bushel level.
  • October sugar rose 5.34% since June 26 and closed at 12.24 cents per pound on Friday
  • September coffee posted a 6.78% gain since last week as the price was at the $1.0320 per pound level
  • September cocoa fell 4.30% since June 26
  • December cotton rose 5.80% since last week as the fiber futures were at the 62.95 cents per pound level
  • September FCOJ futures fell 1.39% since the previous report to $1.2455 per pound
  • August live cattle moved 3.51% higher since last week
  • August feeder cattle rose 1.72% since June 26
  • August lean hog futures recovered by 2.23% over the past week and settled at just over 49 cents per pound
  • The June dollar index futures contract edged 0.11% lower on the week to 97.301
  • September Long-Bond futures were trading at 178-18 down 0-14 for the week
  • The Dow Jones Industrial Average closes at 25,827 on Thursday, July 2 up 811 points from June 26. The S&P 500 rose 4.02% since last week. The VIX was trading at around 27.68 on Thursday down 7.05 on the back of the rally in stocks
  • Bitcoin was trading at $9,079.79 on Friday down $38.48 or 0.42% since June 26
  • Ethereum was trading at $225.96 on Friday, down 0.93% since the last report

 

Price Changes for the week:

DBC closes at $12.46 per share, up 41 cents since June 26

 Source: Barchart

 

DBC is the Invesco DB Commodity Tracking product which represents a diversified basket of commodities futures contracts, has net assets of $818.32 million, and trades an average daily volume of 1,074,804 shares. The fund summary for DBC states that it holds a diversified group of commodities futures but is weighted towards energy. The average volume fell, net assets were steady over the past week, and the price of the ETF moved higher.

 

Any investment involves substantial risks, including, but not limited to, pricing volatility, inadequate liquidity, and the potential complete loss of principal.  This document does not in any way constitute an offer or solicitation of an offer to buy or sell any investment, security, or commodity discussed herein, or any security in any jurisdiction in which such an offer would be unlawful under the securities laws of such jurisdiction.   

                                                         

 

 

 

 

 

 

 

 

 

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