3 Feb 2014
Commodities remain under pressure on China demand concerns
FXStreet (London) - Commodities remain broadly under pressure on Chinese demand concerns.
China manufacturing PMIs from the National Bureau of Statistics and China Federation of Logistics and Purchasing fell to a six month low, at 50.5 down from 51.0 in December. The data showed a decline in both output and orders, subdued by a tightening of conditions by the Communist Party and rising money market rates.
Reflecting the broad Chinese slowdown, non-manufacturing PMIs also showed a decline, falling to 53.4 in January, from 54.6 in December.
Energies declined across the board, with WTI for March delivery shedding 0.61 percent to USD96.90 a barrel. The China-based nervousness snapped a rally on heating oil demand driven by below-normal US temperatures. An improved US weather outlook has added to WTI declines, while natural gas has also fallen from its 18-month highs.
Natural gas for March delivery is currently trading at USD4.85, down 2.08 percent on the session.
Industrial metals continued their slump, with copper extending a 9-day losing streak. Copper hit a low of USD7,035/ ton, down 0.4 percent while aluminium dropped 0.1 percent to USD1,704/ tom, recovering from a four-year low of USD1,698.25 on Friday.
China manufacturing PMIs from the National Bureau of Statistics and China Federation of Logistics and Purchasing fell to a six month low, at 50.5 down from 51.0 in December. The data showed a decline in both output and orders, subdued by a tightening of conditions by the Communist Party and rising money market rates.
Reflecting the broad Chinese slowdown, non-manufacturing PMIs also showed a decline, falling to 53.4 in January, from 54.6 in December.
Energies declined across the board, with WTI for March delivery shedding 0.61 percent to USD96.90 a barrel. The China-based nervousness snapped a rally on heating oil demand driven by below-normal US temperatures. An improved US weather outlook has added to WTI declines, while natural gas has also fallen from its 18-month highs.
Natural gas for March delivery is currently trading at USD4.85, down 2.08 percent on the session.
Industrial metals continued their slump, with copper extending a 9-day losing streak. Copper hit a low of USD7,035/ ton, down 0.4 percent while aluminium dropped 0.1 percent to USD1,704/ tom, recovering from a four-year low of USD1,698.25 on Friday.