Daily FNArena News - Commodities

It’s official. European central banks declined to sell their full quota of gold allowable under the Washington Agreement, for the first time in six years.

With the Indian rupee gold price 17% off its highs, Indian and global banks are gearing up for a traditional rush in demand for coins and bars.

Credit Suisse head of research Giles Keating sees continued weakness for commodities short-term, but a return to growth in the US next year means the longer-term uptrend remains intact.

As predicted last week, ABARE’s update on Australia’s commodities has led to further price increases for many mineral resources.

Julius Baer agrees with other experts, including GFMS, spot gold will be heading towards US$700/oz soon. But reaching the target will take a bit longer than forecast.

Our colleagues at Stockinterview.com had a very interesting chat with a uranium expert from Sprott Asset Management. We believe it is recommended reading for anyone following this market.

The peak oil thesis is losing supporters. In addition there seem to be more than one reason why the spot oil price is likely to fall further still.

ABN Amro suggests the boom is now over, while Morgan Stanley suggests it has further to run. The conclusion is the same though, booming commodity prices are coming to an end.

Chartists at Barclays Capital believe a relief rally in gold next week is a real possibility.

The latest update to the world’s most authoritative annual gold survey was released today and a return of investor buying is the significant prediction.