Hedge funds increased bullish gold wagers by the most since July and sold copper possessions as emerging market turmoil accelerated concern the worldwide economy will slow down and raised demand for precious metals as a harbor.
The net-long position in gold bounced 40% to 60,672 futures and options last January 28, as per the US Commodity Futures Trading Commission. Long wagers escalated 5.5%, the highest since September while short bets dived 16%. Net-bullish copper holdings slopped 62% as shorts increased at its maximum in 11 weeks. Around $1.9 trillion was cleared from the value of global equities last month, after China’s economy slowed down and the US Federal Reserve slacked stimulus. South Africa’s central bank escalated interest rates, Turkey doubled their rates, and Argentina’s peso went down 19% versus dollar, among other currencies being monitored by Bloomberg. The tumult pushed gold to its first monthly profit since August but copper had its worst start this year since 2010.
Gold Rally
Gold futures garnered 3.1% last month to $1,239.80 per ounce, while copper sank 5.9% in the Comex in New York. Standard & Poor’s GSCI Spot Index of 24 commodities dropped 1.6%. The MSCI All-Country World Index of equities plunged 4.1%. The Bloomberg Dollar Spot Index, a measurement of 10 main trading partners, gained 1.2%. Meanwhile, Bloomberg Treasury Bond Index accelerated 1.8%. Net wagers across 18 US-traded commodities ascended 6.5% to 782,818 contracts last week, the fullest since October, based on the CFTC data.
The U.S. Mint sold 91,500 ounces of gold coins in January, the largest since April, connecting counterparts from Australia to Europe in listing higher demand. Prices jumped more than 5% since a 34-month low in June as buying went up. Bullion shipments from Hong Kong to China in 2013 hitting 1,108.8 metric tons, according to customs data.
Copper Supplies
Copper stockpiles watched by the Shanghai Futures Exchange bounced 18% last month, first increase since October. Global production will surpass use by 167,000 tons this year, after a deficit of 137,000 tons in 2013, Barclays Plc postulates. The London Metal Exchange Index of the six main metals listed on the bourse dropped 3.7% last month, the worst start this year since 2010.
China’s economy, the world’s largest consumer from copper to cotton to pork, will grow 7.4% this year, the slowest stride since 1990, based on a Bloomberg survey.
The material has been provided by InstaForex Company – www.instaforex.com
Hedge funds increased bullish gold wagers by the most since July and sold copper possessions as emerging market turmoil accelerated concern the worldwide economy will slow down and raised demand for precious metals as a harbor.
The net-long position in gold bounced 40% to 60,672 futures and options last January 28, as per the US Commodity Futures Trading Commission. Long wagers escalated 5.5%, the highest since September while short bets dived 16%. Net-bullish copper holdings slopped 62% as shorts increased at its maximum in 11 weeks. Around $1.9 trillion was cleared from the value of global equities last month, after China’s economy slowed down and the US Federal Reserve slacked stimulus. South Africa’s central bank escalated interest rates, Turkey doubled their rates, and Argentina’s peso went down 19% versus dollar, among other currencies being monitored by Bloomberg. The tumult pushed gold to its first monthly profit since August but copper had its worst start this year since 2010.
Gold Rally
Gold futures garnered 3.1% last month to $1,239.80 per ounce, while copper sank 5.9% in the Comex in New York. Standard & Poor’s GSCI Spot Index of 24 commodities dropped 1.6%. The MSCI All-Country World Index of equities plunged 4.1%. The Bloomberg Dollar Spot Index, a measurement of 10 main trading partners, gained 1.2%. Meanwhile, Bloomberg Treasury Bond Index accelerated 1.8%. Net wagers across 18 US-traded commodities ascended 6.5% to 782,818 contracts last week, the fullest since October, based on the CFTC data.
The U.S. Mint sold 91,500 ounces of gold coins in January, the largest since April, connecting counterparts from Australia to Europe in listing higher demand. Prices jumped more than 5% since a 34-month low in June as buying went up. Bullion shipments from Hong Kong to China in 2013 hitting 1,108.8 metric tons, according to customs data.
Copper Supplies
Copper stockpiles watched by the Shanghai Futures Exchange bounced 18% last month, first increase since October. Global production will surpass use by 167,000 tons this year, after a deficit of 137,000 tons in 2013, Barclays Plc postulates. The London Metal Exchange Index of the six main metals listed on the bourse dropped 3.7% last month, the worst start this year since 2010.
China’s economy, the world’s largest consumer from copper to cotton to pork, will grow 7.4% this year, the slowest stride since 1990, based on a Bloomberg survey.
The material has been provided by InstaForex Company – www.instaforex.com
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