Commodity News Snapshot-Pakistan

THE RUPEE: dollar rise continues

KARACHI (September 29, 2010): No recovery was seen in the value of the rupee versus dollar on the currency market on Tuesday, dealers said. The rupee drifted lower in terms of the US currency, shedding 12 paisa for buying and selling at 86.14 and it also lost 10 paisa for selling at 86.18, they said. In the second Asian trade struggling dollar got a reprieve, helped by a report that the Federal Reserve was weighing a more open-ended, smaller-scale bond buying programme compared with 2009.

Upward trend persists on cotton market; spot rate raised Rs 7,250

KARACHI (September 29, 2010): Persisting demand pushed the prices further higher on the cotton market on Tuesday, dealers said. The Karachi Cotton Association (KCA) official spot rate was raised further by Rs 100 to Rs 7250, they said. In the ready business nearly 20,000 bales of cotton changed hands between Rs 4200-7450, they said.

Government urged to allow tax-free import of raw sugar

MULTAN (September 29, 2010): Peerzada Abdul Ali Zakir Usmani President of Anjuman Kashtkaran Punjab (Farmers Association of Punjab) has urged the government to allow tax-free import of raw sugar to meet the shortage of sugarcane supply to sugar mills by November. He said that in the backdrop of ongoing sugar crisis in the country the retail price of sugar increased from Rs 45 per kilo to Rs 85 per kilo in a short span of time.

International News

Oil rises to near $77 on unexpected US supply fall

SINGAPORE: Oil prices rose to near $77 a barrel Wednesday in Asia after a report showed U.S. crude supplies dropped last week, suggesting demand may be improving.

 

Gold falls off record, market awaits data

LONDON: Gold fell on Tuesday as investors paused for breath and awaited economic data after betting the metal up to a record $1,300 an ounce in the previous session.

 

Gold hits record high

NEW YORK (September 29, 2010): US gold futures settled on Tuesday near its new all-time high driven up as three reports argued for further quantitative easing by central banks that drove the euro up against the dollar and set off stop-loss buy orders in both markets, traders said. COMEX December gold futures closed up $9.70 at $1,308.30 an ounce on the COMEX division of the NYMEX.

 

Liffe sugar rises

LONDON (September 29, 2010): Liffe December white sugar rises $0.90 to end at $645.00 per tonne on Tuesday. Market underpinned by adverse weather in key producers such as Brazil, Central America, India and Australia. Liffe December cocoa ended 7 pounds lower at 1,893 pounds a tonne. Market remains under pressure, weighed by a favourable outlook for West African main crop.

Commodity News Snapshot-Pakistan

Flash floods cause over Rs 300 billion loss to agriculture sector

ISLAMABAD (September 23, 2010): The estimated loss to agriculture sector of Pakistan in recent flash floods is over Rs 275-300 billion. The representatives of farmers, cotton industry and leather industry while talking to Business Recorder said that the recent floods have caused severe damage to the standing crops along with shortage of livestock hence the government should provide maximum assistance for revival of the agro-economy.

Country has sufficient stock of wheat, rice: Kaira

ISLAMABAD: The federal cabinet was on Wednesday informed that the country had sufficient stock of wheat, rice and pulses despite massive crop losses in floods.

Over 800 containers of Pakistani rice held at Kenyan port: laboratory analysis reports awaited

KARACHI (September 23, 2010): Over 800 containers of Pakistani rice worth $8.0 million have been held at the Kenyan port as the authorities refused to release them until laboratory analysis reports. Kenyan customs have imposed restrictions that all rice imported into the country will not be released from the port until laboratory analysis reports (LAR) in respect to grading have been received in the station of clearance.

THE RUPEE: dollar crosses 86

KARACHI (September 23, 2010): The dollar was trading at 86 versus the rupee on the open market, it, however, shed its gains on the interbank market on Wednesday in process of trading, dealers said. The rupee fell in terms of dollar, shedding five paisa for buying at 85.90 and it also dropped by 15 paisa for selling at 86.10, they said.

TCP to offload 50,000 tons of sugar in open market

KARACHI (September 23, 2010): Following the Economic Co-ordination Committee (ECC) decision, the state run grain trader is all set to offload 50,000 tons imported white sugar in open market, a high official told Business Recorder on Wednesday. The ECC on Tuesday decided to offload imported sugar in the open market, after provinces failed to sell subsidised imported sugar in domestic market at low rates during Ramazan, following which sugar price surged to peak level of Rs 86 per kg in open market.

 

Cotton rates remain stable in improved activity as exporters enter market

KARACHI (September 23, 2010): Improved business was seen on the cotton market on Wednesday as exporters entered the market to make deals, dealers said. The Karachi Cotton Association (KCA) official spot rate did not show further rise, holding the overnight level at Rs 7,250, they said. In the ready business approximately, 13000 bales of cotton changed between Rs 7050-7400, they said.

 

Gold up by Rs 400 per tola

KARACHI (September 23, 2010): Gold on Wednesday touched a fresh peak of Rs 41,150 per tola while silver price equalised its previous record high of Rs 620 per tola on the local market, trader said. Gold was selling for Rs 40,750 per tola a day before and went up hitting a new high of Rs 41,150 on the local market, posting a rise of Rs 400. Price of gold per 10 gram touched Rs 35,271, up from Rs 34,942, they said.

Bullion Rates

KARACHI (September 23, 2010): Gold and silver rates in rupees per 10 grams prevailing in major cities on Wednesday (September 22, 2010).

International News

Malaysian palm oil rises

KUALA LUMPUR (September 23, 2010): Malaysian palm oil and its rival US soyaoil recorded small gains on Wednesday as traders waited for more news on weather in key grain producing regions in the Americas and Asia. Chinese financial markets are closed for the rest of this week, giving few cues to vegetable oil trade.

US wheat futures recover

HAMBURG (September 23, 2010): US wheat futures rose by more than one percent in European and Asian trade on Wednesday, buoyed by a weaker dollar as well as a fresh tender by Egypt, the world's largest wheat importer. The US Federal Reserve's determination to prevent deflation, revealed on Tuesday, also lent support, given that investors often buy commodities as a hedge against inflation.

Oil falls below $75 a barrel

LONDON: Oil fell below $75 a barrel on Wednesday, reversing earlier gains after government inventory data showed a rise in crude and oil product stocks.

Gold hits record high, above $1,295 an ounce now

* Silver also hit a 2½-yr peak, edges closer to its highest in 30 yrs

LONDON: Gold hit record highs for a fifth consecutive session on Wednesday after the Federal Reserve signalled it stood ready to inject fresh cash into the economy, knocking the dollar and whetting investor appetite for bullion.

Commodity News Snapshot-Pakistan

 Wheat production target

1.08mt seeds for 25mt wheat required

ISLAMABAD: To achieve the wheat production target of 25 million tonnes, the country requires about 1,085,400 metric tonnes of wheat seeds for the upcoming Rabi Season (October to March) 2010-11, it was learnt on Tuesday.

Gold at new high of Rs 40,750 per tola

KARACHI (September 22, 2010): Gold prices on Tuesday continued soaring up to a new record level of Rs 40, 750 per tola on the local market, traders said. Gold was available at Rs 40,700 per tola a day before and closed with Rs 50 increase while price of gold 10-gram also reached a new high of Rs 34,928 up from Rs 34,885, they said.

THE RUPEE: dollar seen rising

KARACHI (September 22, 2010): Sharp decline was seen in the value of the rupee against dollar on the interbank market on Tuesday due to rising demand for the US currency, dealers said. Amid persisting dollar buying, the rupee was not able to resist its slide, dropping 11 paisa for buying and selling at 85.95 and 85.99, they said.

25 percent regulatory duty on raw sugar to go

ISLAMABAD (September 22, 2010): The Economic Co-ordination Committee (ECC) of the Cabinet on Tuesday decided to withdraw 25 percent regulatory duty on import of raw sugar and allowed private sector to import the commodity. The decision to this effect was taken by the ECC meeting presided over by Finance Minister Dr Abdul Hafeez Sheikh here.

TCP to scrap another sugar tender

KARACHI (September 22, 2010): The Trading Corporation of Pakistan (TCP) is to scrap another sugar import tender of 100,000 tons awarded to China-based company in May 2010, it is learnt. Sources told Business Recorder on Tuesday that China-based company Yunnan, participating in two sugar import tenders, had offered lowest bids and later finalised two separate deals with the TCP for supply of 200,000 tons of sugar.

Cotton spot rate jumped to Rs 7,250; lint prices stable as demand persists

KARACHI (September 22, 2010): Trading activity improved on the cotton market on Tuesday as mills extended buying on expectations of corrective measures and concessions by the government to boost exports, dealers said. The Karachi Cotton Association (KCA) official spot rate was raised by Rs 150 for the second day in a row to Rs 7,250, they said.

 

Bullion Rates

KARACHI (September 22, 2010): Gold and silver rates in rupees per 10 grams prevailing in major cities on Tuesday (September 21, 2010).

International News

Malaysian palm oil dips

KUALA LUMPUR (September 22, 2010): Most vegetable oil prices dipped on Tuesday as traders booked some profits after concerns of dry weather in the Americas and frost in China and Canada drove markets up the previous day. Malaysia's December palm oil dropped 1.3 percent to close at 2,674 Malaysian ringgit, easing from a five-week high on Monday. The most active May soyaoil contract on China's Dalian Commodity Exchange fell 0.2 percent after touching a record high the previous day.

New York sugar falls

NEW YORK (September 22, 2010): ICE benchmark raw sugar futures fell from a seven-month high and closed lower on Monday, unable to sustain their rally, while arabica coffee logged its biggest one-day drop in four weeks. Cocoa futures finished down.

 

Oil slips to around $74

LONDON: Oil fell to around $74 a barrel on Tuesday on concerns over the outlook for the global economy ahead of a key Federal Reserve meeting on US monetary policy.

 

Gold hits new peak

NEW YORK (September 22, 2010): Gold prices climbed to a fourth consecutive record high on Tuesday after the US Federal Reserve inched nearer to taking new steps to stimulate the US economy. Spot gold rose to a new record of $1,290.70 an ounce by 3:56 pm EDT (1956 GMT) from $1,272 prior to the Fed announcement.