Commodity Prices Fall Back To Earth
The New York Federal Reserve
reported the Empire State Index showed
the pace of improvement for New York manufacturers slowed unexpectedly in May
(report).
Treasuries closed higher, ending a five day slide. Yields closed last week at
multi-year highs, attracting buyers at the start of a new week.
The Dollar Index bounced back from last week’s drubbing, posting its biggest
gain in more than two months. The Dollar rose against all the majors after
hitting a one year low versus the Euro and eight month low versus the Yen last
week.
Gold came crashing back down to earth today, falling more than $26 to close at
$685. Silver and Copper also closed significantly lower, although Copper opened
near its low and closed near its high — suggesting buyers felt the gap down was
an overreaction.
Crude Oil futures erase last week’s gain
June Crude Oil futures picked up where they left
off on Friday — moving downwards. Selling was the theme of the day as prices
opened at session highs and closed near the low of the day at $69.41. June Crude
Oil hit a high of $73.90 last Thursday.
Unleaded Gas and Heating Oil futures fell sharply, while Natural Gas fell to a
new contract low.
All the softs except for Orange Juice +1.21% closed lower.
Among the grains, Corn was the only major contract to rise.
16 out of the 19 components of the Reuters/Jefferies CRB Index closed lower
today.
Economic News
Empire Sate Index At 12.4 For May (report)
For more reports and analysis go to our
Economic
News section.
Ashton Dorkins
Want a free month of
PowerRatings?
Send us your
PowerRatings
strategy and receive one free month of this exciting trading tool. If you are
already a monthly or annual
PowerRatings
subscriber, you will receive an additional three months if we publish your
strategy.