Daily FNArena News - Commodities

Contract coal prices look to have fallen 44% on last year, but a weaker AUD and falling production costs are compensating Australian producers.

Uranium slips another US50c/lb as bargain hunting takes the upper hand.

The story of this year’s annual iron ore negotiations remains dominated by re-stocking, weak demand and a Chinese surplus package.

The CEO of the world’s largest producer of yellow cake believes a “uranium supply crunch” is “just around the corner”.

With the first thermal coal settlements in Japan indicting a benchmark price of US$70/t, brokers are starting to pick their Aussie coal favourites.

Danske Bank has further lowered its commodity price forecasts but continues to recommend investors get set as there are some signs of improvement on the horizon.

India is moving from exporter to importer of sugar while more of Brazil’s output should go into ethanol production, all of which Barclays sees as supportive for sugar prices.

If gold is being bought through fear, what might happen if fear abates?

Commodity prices continue to nosedive and Australian stocks are tracking the losses, with the fate of the AUD tied to both.

While awaiting news on Australian iron ore, China has secured oil deals with Brazil and Russia.