【FujiTomi】NY gold rises to the 1250s after the settlement price is determined

（NY Precious Metals）
Gold in New York on the 24th was slightly firmer. The near-month April gold contract in New York was up 1.3 dollars at 1,248.5 dollars, and the near-month April platinum contract in New York was up 4.21 dollars at 967.9 dollars.
It was moving within a box around the 1240-dollar level. It rose to 1249.9 dollars, but 1250 dollars proved to be a barrier. In the market, attention is focused on the fate of the ObamaCare reform bill. The House of Representatives has set a schedule for a vote, but even if passed, the hurdle for passage in the Senate is seen as very high, so the outlook remains unclear. In fact, when reports circulated that Speaker Paul Ryan told President Trump that passage of the ObamaCare reform bill would be difficult, NY gold rose into the 1250-dollar area, expanding its gains. The bottom of NY gold is expected to remain firm.

（WTI Crude Oil, NY Petroleum Products, North Sea Brent）
On the 24th, WTI crude oil rose slightly on the back of gains in the petroleum products market. WTI crude near-month May contract was up 0.27 dollars to 47.97 dollars, North Sea Brent near-month May contract was up 0.24 dollars to 50.80 dollars. RBOB gasoline for April was up 1.52 cents to 160.48 cents, and NY heating oil near-month April was up 0.75 cents to 149.76 cents.
New York gasoline is being bought back on expectations of improved domestic demand, and WTI followed by buying back as well. However, the upside is heavy, and active buying around the 48-dollar level for the WTI near-month May contract did not continue. Baker Hughes’ daily count of oil drilling rigs rose by 21 from the previous week, marking the 10th consecutive weekly increase. The magnitude of the increase is the largest since January 20, and the number of rigs has more than doubled from the same period last year. However, weekend reactions were lackluster. There is a planned OPEC+ monitoring committee meeting for five countries over the weekend, so selling was put off for now. Nevertheless, these drilling rigs represent clearly a significant bearish factor.

（CBOT Soybeans）
On the 24th, CBOT soybeans continued to slide. The near-month May contract fell 15.50 cents to 975.50 cents, and the new-crop November contract fell 14.75 cents to 976.50 cents.
With expectations of a bumper harvest in South America rising further, forecasts of increased US planting area for 2017 have emerged, triggering a dump by funds. The USDA will reveal planted area at the end of the month, but as shown at the February Agricultural Forum, bearish intended acreage is already anticipated, and with South American bumper crops adding to the supply pressure, further downside risk is evident. The near-month May contract is seen testing 9.50 dollars by stacking up 10 dollars. There are no supportive factors, and within the global oversupply scenario, Chicago soybeans are expected to remain soft. Today, funds are estimated to have net sold about 10,000 contracts.

（CBOT Corn）
On the 24th, CBOT corn edged lower. The near-month May contract fell 1.00 cent to 355.75 cents, and the new-crop December contract fell 0.75 cent to 379.25 cents.
It moved within a narrow range, but the decline continued, showing a drop of more than 3% over the week. South American demand pressure remains a concern. Ahead of planting in the US Corn Belt from April, soil moisture is not a problem, encouraging fund liquidation. Meanwhile, Brazil’s meat scandal has not yet become a full-fledged selling signal. The EU has requested a full ban on Brazilian poultry imports, which Brazil has refused. Also, due to inspections, the operations of Brazil’s largest beef processor may be halted, potentially reducing livestock production and shifting corn from feed to export, which could become a large potential selling factor, and is considered a factor pressuring the market into the week ahead. Fund selling today is estimated at 2,000 contracts.
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