【Fujitomi】NY Gold rises for the fifth consecutive trading day

(New York Precious Metals)
On the 22nd, New York gold rose for the fifth straight trading day, climbing above the 1250 level. The New York near-month April gold contract was up 3.2 dollars at 1249.7 dollars, while the New York near-month April platinum contract was down 9.5 dollars at 961.9 dollars.
Buyers pursued as a hedge amid a global stock downturn, pushing toward the 1250-dollar area. With solid support around 1240 dollars, reaching into the 1250s seemed only a matter of time. The uncertain future of the Trump administration and political risk were said to be boosting buying. A terrorist attack in London occurred, but its impact on the gold market was limited. As it rose into the 1250s, it looked to challenge the 200-day moving average around the 1268-dollar area. On the other hand, platinum was plunging sharply and diverging from gold, and failed to trigger a broad buying impulse due to weak physical markets, leading to selling pressure as the upside remained heavy.

(WTI Crude Oil, NY Petroleum Products, North Sea Brent)
On the 22nd, WTI crude oil was still falling but the decline narrowed. WTI crude near-month May contract was down 0.20 dollars at 48.04 dollars, North Sea Brent near-month May contract was down 0.32 dollars at 50.64 dollars. RBOB gasoline April contract was down 0.33 cents at 160.19 cents, NY heating oil near-month April contract was down 0.65 cents at 149.68 cents.
In the U.S. EIA inventory data, crude oil stocks surged by 49.54 million barrels week on week. Meanwhile gasoline stocks fell by 28.11 million barrels, and distillates by 19.10 million barrels. However, the scenario where petroleum product stocks would fall more than crude stocks did not hold, and crude stocks exceeded expectations. Crude inventories continued to be at historically high levels, and after the release WTI briefly plunged, hitting a low of 47.01 dollars. However, it quickly rebounded and later recovered into the 48-dollar range. It suggested a move that would test the 1268-dollar 200-day moving average. There is also a sense of caution ahead of the OPEC and non-OPEC monitoring committee meeting scheduled for the 26th. U.S. crude production has risen for five consecutive weeks and is expected to remain a bearish factor going forward.

(CBOT Soybeans)
On the 22nd, CBOT soybeans fell, with the nearby May contract again closing below 10 dollars. Nearby May contract was down 3.00 cents at 998.50 cents, new-crop November was down 0.50 cent at 997.75 cents.
Trading range narrowed compared with the previous day, reflecting a bearish pre-planting acreage outlook. FC Stone had earlier announced a pre-forecast of 87.30 million acres. The level shown at the annual Agricultural Forum was 88.00 million acres, still above last year’s 83.443 million acres, but markets viewed this as a bearish pre-forecast. South American grain pressures continued to be watched, aiding the fall. As with the previous day, value-buying provided some support, but with month-end USDA releases in view, further declines were deemed likely.

(CBOT Corn)
On the 22nd, CBOT corn continued to fall, setting new lows. Nearby May contract was down 3.00 cents at 358.25 cents, new-crop December was down 3.00 cents at 381.50 cents.
Rain in Brazil was seen as potentially improving yields, but rainfall forecasts in the U.S. Corn Belt were also considered favorable for planting, thus bearish. FC Stone’s pre-planting acreage estimate stood at 91.60 million acres, well above the USDA’s 90.00 million acres presented at the February Annual Agricultural Forum. This also served as bearish news. The meat scandal in Brazil led several countries to pause some Brazilian chicken imports, but selling pressure in the Chicago market had not fully materialized.
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