Commodities Update — Corn hits decade high; Gold eases; Brazil gets fertilizer from Russia

Commodities Update — Corn hits decade high; Gold eases; Brazil gets fertilizer from Russia
Spot gold was down 0.1 percent at $1,977.19 per ounce, as of 0409 GMT. (Shutterstock)
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Updated 19 April 2022

Commodities Update — Corn hits decade high; Gold eases; Brazil gets fertilizer from Russia

Commodities Update — Corn hits decade high; Gold eases; Brazil gets fertilizer from Russia

RIYADH: Gold edged lower on Tuesday as the dollar strengthened, with expectations that prices in the near-term could retest bullion’s resistance at the key $2,000 per-ounce level.

Spot gold was down 0.1 percent at $1,977.19 per ounce, as of 0409 GMT. US gold futures slipped 0.2 percent to $1,981.60.

Gold climbed to $1,998.10 on Monday, buoyed by safe-haven demand, as the Ukraine crisis dragged on and inflation concerns mounted. However, the metal later gave up most gains as the dollar and US 10-year Treasury yields firmed.

Palladium falls

Spot silver gained 0.1 percent to $25.85 per ounce. 

Platinum rose 0.8 percent to $1,018.48, while palladium dropped 0.2 percent to $2,433.48. 

Corn prices skyrocketing

US grains futures edged higher on Tuesday, with corn prices touching a decade high, as unfavorable US weather and stalled Black Sea exports due to the Ukraine crisis intensified worries over tightening global supplies.

The most-active corn contract on the Chicago Board of Trade climbed as high as $8.13-1/2 a bushel, its highest since September 2012, from Monday’s close of $8.07.

CBOT wheat was up 0.8 percent at $11.38 a bushel by 0239 GMT, while CBOT soybeans gained 0.6 percent to $17.25 a bushel.

Russian fertilizer supply to Brazil normal

Despite concern that sanctions against Russia would cause a shortfall of fertilizer in Brazil, preliminary shipping data shows orders being fulfilled and vessels heading for Brazil, potentially allowing a normal grain planting season.

At least 24 vessels carrying almost 678,000 tons of Russian fertilizers from ports in the country are expected to reach Brazil in the next few weeks, according to preliminary shipping data compiled by Agrinvest Commodities and seen by Reuters on Monday.

Despite sanctions against Russia after its invasion of Ukraine, the data show 11 of the 24 vessels left ports including Saint Petersburg and Murmansk after Feb. 24, when the war started. Most are carrying potassium chloride used on soy and cornfields.

Brazil’s Foreign Minister Carlos França raised concerns of fertilizer supply during a meeting with US Trade Representative Ambassador Jayme White on April 14.

 

Foreign units of Russian firms continue to fulfill orders 

The Pebble Beach, with a 35,000-ton potassium chloride load, was the latest to leave Russia on April 4 en route to Vitoria port in Brazil’s Southeast, the data showed.

A fertilizer trader said deals were still possible as foreign units of Russian firms continue to fill orders, while banks untouched by Western sanctions process the payments.

(With inputs from Reuters) 

 


UAE In-Focus — RAK chamber members export totaled $435m in Q2; Gulf Navigation wins refinance deal

UAE In-Focus — RAK chamber members export totaled $435m in Q2; Gulf Navigation wins refinance deal
Updated 13 sec ago

UAE In-Focus — RAK chamber members export totaled $435m in Q2; Gulf Navigation wins refinance deal

UAE In-Focus — RAK chamber members export totaled $435m in Q2; Gulf Navigation wins refinance deal

DUBAI: Exports of companies registered with the Ras Al-Khaimah Chamber of Commerce and Industry hit 1.64 billion dirhams ($435 million) in the second quarter of 2022, the Emirates News Agency WAM reported.

In addition, the chamber issued 5,871 certificates of origin, predicting that this number will reach 2,203 certificates in June, WAM said.

According to the report, 185 commercial establishments, 193 professional entities, eight industrial units, one service establishment and one agricultural company were registered in the second quarter of 2022.

Also in June, 158 new licenses were issued to establishments, while 3,592 licenses were renewed, and 234 licenses were canceled. A total of 255 new licenses were issued to companies in the wholesale and retail commerce sector.

As of the end of the second quarter of 2022, estimated and planned new investment capital exceeded 279 million dirhams, not including 55 establishments in free zones and 18 branches of local and foreign companies, while 390 people were estimated to be employed by these new businesses. Forty-two countries made new investments, WAM added.

Refinance of petchem tankers 

The Gulf Navigation Holding Co. completed the refinance of five petrochemical tankers, rated crucial, according to a statement.

The refinancing will help the company reduce its long-term debt load, it added.

Ali Abouda, the company’s CFO, said: “This agreement will establish a strong and prosperous relationship with our new partner, Jiangsu Financial Leasing Co., to which we are grateful for its belief in the company’s ability to grow and expand its operations.”

A petrochemical tanker has a tonnage capacity of 46,000 DWT and can transport a variety of liquids, such as petrochemicals, oils, and oil derivatives. Due to the scale of energy demand, this category of shipping is considered to have outsized prospects in the near term.

Alaan launches business card 

Alaan, a UAE-based corporate spend-management fintech, has launched an industry-first business cashback card, according to a statement.

Seed funding for the startup was around 9.2 million dirhams to build a platform that would enable companies to pay for invoices and spend money using modern corporate cards. Alaan cards reward business customers with cash back of up to 2 percent, it added.

Parthi Duaisamy, the CEO and cofounder of Alaan, said: “Consumers have long had access to such cards in the UAE, but that has not been the case for SMEs and corporates.”

Alaan, the statement added, also issues virtual cards for e-commerce transactions, SaaS subscriptions, vendor payments, and in-store purchases.

Merchant-locked cards can only be used at certain merchants, such as fuel stations, and can be set up with daily or monthly spending limits.

Through seamless integration with various accounting solutions, the platform eliminates expense reports, petty cash, and bookkeeping tasks.

In multiple markets throughout the Middle East, Alaan is expanding its headcount and scale, it concluded.


India In-Focus —  PM Modi says India aims to become developed nation in 25 years; India achieves ethanol target ahead of schedule 

India In-Focus —  PM Modi says India aims to become developed nation in 25 years; India achieves ethanol target ahead of schedule 
Updated 23 min 16 sec ago

India In-Focus —  PM Modi says India aims to become developed nation in 25 years; India achieves ethanol target ahead of schedule 

India In-Focus —  PM Modi says India aims to become developed nation in 25 years; India achieves ethanol target ahead of schedule 

RIYADH: India will aim to become a developed nation within 25 years, Prime Minister Narendra Modi said in a national day address on Monday, with policies to support domestic production in power, defense and digital technology.

Speaking from the Red Fort in Delhi as India celebrates its 75th year of independence from British colonial rule, Modi exhorted its young people to “aim big” and give their best years for the cause of the country.

“We must turn India into a developed country in the next 25 years, in our lifetime,” said the 71-year-old Modi, wearing a turban in the colors of the Indian flag, in his 75-minute-speech in Hindi.

“It’s a big resolution, and we should work toward it with all our might.”

Ethanol target achieved ahead of schedule  

India has achieved the target of blending 10 percent sugarcane-extracted ethanol in petrol ahead of schedule, said Modi. 

During his Independence Day speech, the prime minister added that India should be self-sufficient in the energy sector. 

He noted that embracing renewables and promoting hydrogen-based energy could help energy independence. 

Paperless domestic travel becoming a reality at Delhi airport

The Indian government’s ambitious Digi Yatra, aimed at paperless domestic travel is becoming a reality at Indira Gandhi International Airport, Delhi. 

Delhi International Airport Ltd., also known as DIAL, on Monday announced the soft launch of a beta version of the Digi Yatra app for Android users. 

DIAL added that the app will be available for iOS users in another few weeks. 

“The face of passengers will act as their documents, like ID proof, vaccine proof, and also act as boarding passes,” said DIAL in a statement. 

The statement added that this paperless system will also enhance the safety and security at the airport, as the passenger data is validated with the departure control system. 

(With input from Reuters) 


Saudi healthcare group Mouwasat to add two more hospitals to its network

Saudi healthcare group Mouwasat to add two more hospitals to its network
Updated 38 min 5 sec ago

Saudi healthcare group Mouwasat to add two more hospitals to its network

Saudi healthcare group Mouwasat to add two more hospitals to its network

RIYADH: Saudi Arabia’s Mouwasat Medical Services is set to add two more hospitals to its network to reach nine facilities, Managing Director Mohammed Al-Saleem told CNBC Arabia.

The two facilities will be added following the acquisition of Jeddah Doctors Co. and the opening of a new hospital in Yanbu.
The company also plans to establish a hospital in Riyadh, details of which will be revealed once all the formalities are completed, he added.

During the second quarter of 2022, the group’s net profit decreased 5.8 percent to SR141 million ($37.56 million), from SR150 million in the first quarter of 2022.

The official said the group witnessed pressure on profits in the first quarter, as a result of the expenses related to the operation of its new hospital in Madinah.

The Madinah hospital began operations on June 30, and is expected to generate revenue in the upcoming quarter, resulting in higher profits.

The group also recently acquired 100 percent of the Protocol Hospital in Egypt.


Saudi Arabia issues over 500 industrial licenses attracting $3.6bn investments in H1 

Saudi Arabia issues over 500 industrial licenses attracting $3.6bn investments in H1 
Updated 38 min 39 sec ago

Saudi Arabia issues over 500 industrial licenses attracting $3.6bn investments in H1 

Saudi Arabia issues over 500 industrial licenses attracting $3.6bn investments in H1 

RIYADH: The Saudi Ministry of Industry and Mineral Resources saw an investment volume of SR13.7 billion ($3.6 billion) as it issued 501 new industrial licenses during the first six months of 2022. 

During the same period, 721 factories started production, attracting investments amounting to SR19.10 billion, the ministry’s monthly bulletin showed. 

This has brought the total volume of investments in the industrial sector until June to SR1.36 trillion, with a total of 10,675 factories. 

The bulletin further revealed that the industrial sector created over 26,000 jobs during the first six months of 2022.


Commodities Update — Gold slips; Soybeans down 2 percent; Base metals drop

Commodities Update — Gold slips; Soybeans down 2 percent; Base metals drop
Updated 15 August 2022

Commodities Update — Gold slips; Soybeans down 2 percent; Base metals drop

Commodities Update — Gold slips; Soybeans down 2 percent; Base metals drop

RIYADH: Gold prices slipped on Monday as the dollar rebounded, with expectations of sharp interest rate hikes from the Federal Reserve further pressuring bullion.

Spot gold was down 0.5 percent at $1,792.76 per ounce, as of 0540 GMT, after rising about 1.6 percent last week.

US gold futures fell 0.4 percent to $1,808.20.

Silver drops

Spot silver dropped 1.2 percent to $20.57 per ounce, while platinum fell 1.2 percent to $950.62. 

Palladium slipped 0.8 percent to $2,203.98.

Grains down

Chicago soybeans slid more than 2 percent on Monday, falling for the first time in three sessions after a US government report raised the country’s production forecast, with additional pressure from expectations of improved weather this week.

Corn and wheat lost more than 1 percent each.

The most-active soybean contract on the Chicago Board of Trade lost 2.1 percent to $14.24-1/2 a bushel, as of 0339 GMT.

Corn fell 1.4 percent to $6.33 a bushel, while wheat gave up 1.6 percent to $7.93-1/4 a bushel.

Industrial metals down

Prices of industrial metals fell on Monday after top consumer China reported several key economic data, which missed expectations by large margins, reinforcing fears of weakening demand from the world’s biggest metals market.

Three-month copper on the London Metal Exchange was down 0.7 percent at $8,033 a ton, as of 0412 GMT, while the most-traded September copper contract on the Shanghai Futures Exchange dropped 1.3 percent to $9,160.34 a ton.

LME lead fell 1.8 percent to $2,145.50 a ton, tin declined 1.5 percent to $24,805 a ton, zinc decreased 1.4 percent to $3,539 a ton and aluminum eased 0.2 percent to $2,429 a ton.

(With input from Reuters)