Trending
Houthi Attacks Push Oil Up
Houthi attacks originating from Yemen shook the Saudi capital Riyadh Thursday with most projectiles being intercepted. The recent surge of Houthi aerial exchanges follows their capture of the port in the city of Mocha, Yemen. Largely as a result of the attacks, Brent Crude rose 3.4% to $106.60 while West Texas Intermediate gained $2.70 to $94.71 based upon mounting supply threats. On Friday, Iran proposed another memo of understanding that would open the Strait of Hormuz. That proposal knocked crude and Brent prices back down again. Diesel and home heating oil continue to hit records in many sections of the U.S.
Trump and XI Jinping Meet
President Trump and Chinese President XI Jinping met Thursday for bilateral talks extending a trade truce until January. The two leaders also discussed AI for the first time, focusing on managing global competition as well as an information-sharing network to avoid AI mishaps.
Wheat Retreats, Beans Buoy
The wheat complex tumbled Thursday PM and Friday AM Thursday. Chicago wheat showed losses of 1% to 5.25% midweek as USDA Export Sales showed the 4th lowest total sales for the marketing year at 50.44% below the same week last year. Harvest pressures, technical selling and the US-China meetings hurt wheat prices. Beans were hit even harder as the pomp couldn't hide the tensions and lack of results in trade talks though the beans did bounce up somewhat by Friday's close.
Will Gold Hold?
Gold slipped below $4,250 midweek based upon robust US business activity, low jobless claims and a stronger US dollar. Oil price rebounds increased inflation worries to help break gold support. Nevertheless, Goldman Sachs and others still project higher target prices based upon central bank and sovereign demand. By Friday's close, gold recovered to the $4,290 area.
CME midday prices - November Soybeans, $13.20; December Corn, $5.28; December Wheat, $7.04. Livestock per 100 pounds: October Cattle, $219; October Hogs, $78.20. Metals per troy ounce: December Gold, $4,326; December Silver, $64.80, December Copper per pound: $6.78. November Crude oil per barrel: (WTI) $92.40. September S&P futures traded at 7800.
------------
Walt Breitinger is a commodity futures broker in Indiana. He can be reached at 800-411-FUTURES (3888) or www.indianafutures.com. Pinion Futures, LLC, a CFTC registered Introducing Broker and NFA Member (NFA #0284447,) is a fully owned subsidiary of Pinion Risk Management LLC. Information contained herein is believed to be reliable but cannot be guaranteed as to its accuracy or completeness. Futures and options trading involve substantial risk of loss and is not suitable for all investors.