【Fujitomi】Weak stock statistics sour the mood, overseas crude oil retreats significantly from its high

(NY Precious Metals)
On the 5th, NY gold fell sharply as the NY Dow declined, avoiding a sharp rise. NY gold near-month June contract is down 9.9 dollars from the previous day at 1,248.5 dollars, NY silver near-month July contract is down 4.9 dollars at 959.6 dollars.
Swayed by the volatile movement of the NY Dow, gold plunged to 1,245.4 dollars during the Dow’s rapid rise. Afterward, buoyed by the Dow’s high, it recovered to the 1,250-dollar region, narrowing the loss. From the 1,260-dollar level shown the previous day, it fell nearly twenty dollars, but the rebound afterward formed a chart with a relatively long lower shadow, suggesting some bottoming. Given the ongoing turbulent movements of the NY Dow, NY gold is expected to continue being whipped around, which could strengthen the tendency to buy gold as a form of risk.

(WTI Crude Oil, NY Petroleum Products, North Sea Brent)
On the 5th, WTI crude oil remained modestly higher amid turbulence. WTI crude oil near-month May contract is up 0.12 dollars to 51.15 dollars, North Sea Brent near-month June contract is up 0.19 dollars to 54.36 dollars. RBOB Gasoline May contract is down 0.64 cents at 171.53 cents, NY Heating Oil near-month May contract is up 1.12 cents at 160.35 cents.
In the noteworthy U.S. EIA inventory statistics, crude oil inventories rose by 15.66 million barrels from the previous week, gasoline inventories fell by 0.618 million barrels, and middle distillates inventories fell by 0.536 million barrels. Crude inventories rose more than expected, while the reduction in petroleum product stocks was below expectations, contrasting with market hopes for strong figures, showing a weak result. With demand for oil retreating, crude production rose for six consecutive weeks, setting a new all-time high in inventory. In response to expectations, WTI near-month May contracts briefly surged to 51.88 dollars, but then fell, showing a low of 50.86 dollars about an hour after the EIA announcement. It later recovered to the 51-dollar zone, but with resistance on the upside. Despite the weak content, it remained in positive territory, but the surrounding fundamentals are not very favorable.

(CBOT Soybeans)
On the 5th, CBOT soybeans rebounded on bargain-buying and rains in Argentina. Near-month May contract rose 6.25 cents to 944.00 cents, new-crop November contract up 5.00 cents to 954.00 cents.
In Argentina, continued rains are expected, rekindling expectations of delayed harvests. Also, with President Xi Jinping’s visit to the U.S., there were expectations of large soybean sales from the United States, leading to a momentary surge on speculative buying. However, the rains in Argentina have limited impact, and Brazil’s export pressure remains, and even with large Chinese purchases, contracts are likely to be pre-signed ahead of time, so a reversal may be anticipated later. In the U.S. trading session, the price faded from the high. Given the generally weak supply-demand outlook for the 11th report, the rebound is viewed as only a self-correcting move.

(CBOT Corn)
On the 5th, CBOT corn edged higher. Near-month May contract up 1.50 cents to 364.50 cents, new-crop December contract up 1.25 cents to 389.00 cents.
Corn was supported by the soybean rebound and the forecast for rains in the U.S. corn belt. However, since it is early in the planting season, these rains are seen as potentially beneficial or as a cause of planting delays, making the upside limited. As the session closed, technical buying pushed to new highs, but profit-taking later pared the gains.
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