Hardening Metal Prices Eclipse Softening Grains
On a day noted for the passage of the moon across the sun in the US, grains were eclipsed by metals, with wheat futures plumbing fresh contract lows on both sides of the Atlantic, while Chicago corn dropped to its lowest in nearly a year.
Hedge Funds Are Losing Faith In Precious Metals
Gold is out of favor with money managers and it’s not the only precious metal facing investor exodus. Hedge funds and other large speculators are hitting the exit as they brace for monetary tightening in the U.S. and Western Europe. Money managers are not waiting around for signs that the Federal Reserve may change its rate trajectory, as they turn bearish on precious metals. These charts show the trend in sentiment. In the week ended July 11, the net-long position in gold fell to the lowest in 17 months, before the metal posted its first weekly gain in six weeks....
Gold Buyers Flee A Month After Their Most Bullish Bet Of '17
A month ago, money managers were the most optimistic on gold this year. Now, they can’t seem to unload bullion fast enough. Hedge funds’ net-long positions, or the difference between bets on a price increase and wagers on a decline, fell last week by more than half, the biggest reduction since 2015. Exchange-traded products backed by precious metals saw cash outflows over the past month, while most other commodity funds took in more investor money. Total assets in SPDR Gold Shares, the world’s top bullion ETF, fell to the lowest since March last week. Even with signs of escalating geopolitical tensions...
CHART: Hedge Fund Commodity Bulls Misread The Market
After twelve months building momentum (with a big wobble in the middle) hedge funds bullish bets on commodities hit at a record high in February this year. Turns out the smart money was too optimistic about the strength and length of China’s economic recovery and the timing and scale of US stimulus under new leadership. Large scale speculators or managed money investors in agriculture, energy and metals commodity futures and options have now slashed bullish positioning by 64% from the February peak. Ole Hansen, chief commodity strategist at Saxo Bank, says the main reason behind the loss of confidence is...
Arconic Reaches Truce With Elliott After Bruising Fight
Specialty metals company Arconic said it would allow Elliott Management Corp to nominate three members to the company's board, ending a proxy contest with the activist investor.
Vedanta To Invest $1 Bn More In FY18, Says CEO
<em><strong>Tom Albanese</strong></em>, CEO of <a class="storyTags" href="http://www.business-standard.com/search?type=news&q=Vedanta" target="_blank">Vedanta </a>Ltd and London-listed <a class="storyTags" href="http://www.business-standard.com/search?type=news&q=Vedanta" target="_blank">Vedanta </a>Resources Ltd, is optimistic that the good days of metal and oil <a class="storyTags" href="http://www.business-standard.com/search?type=news&q=Companies" target="_blank">companies </a>are finally here which would see the returns on investments to go up in the current fiscal. Soon after FY16 results, Albanese spoke to <em>Aditi Divekar and Dev Chatterjee</em> on the road ahead for <a class="storyTags" href="http://www.business-standard.com/search?type=news&q=Vedanta" target="_blank">Vedanta </a>post-merger with oil producer, Cairn India Ltd and its investments plans, and the bottlenecks facing the metals industry. Excerpts.
Commodity Hedge Fund Blenheim Opens Up Ownership For First Time
Willem Kooyker, a pioneer of investing in commodities, broadened the ownership of his $1.5 billion hedge fund for the first time since it was created almost three decades ago. One of the most powerful and enigmatic traders in the natural resources industry, Kooyker said Thomas Kopczynski, James Wohlmacher, Gus Rossi, and his son Terence Kooyker will join him as owners of Blenheim Capital Management LLC. Blenheim invests in everything from oil to metals and agriculture, and at its height in 2011, was the world’s largest commodities-focused hedge fund. The ownership shakeup is the first since 74-year-old Kooyker, who retains a...
Long-term Demand For Base Metals To Remain Positive: ICRA
Demand for base metals in the domestic market is likely to remain positive on long-term basis due to investments in infrastructure projects, a report said. "In the long-term, demand of base metals in India remain positive, driven by investments in infrastructure projects for the power transmission and distribution sector, urban housing and smart city programmes of the government," ICRA said in a report here.
No Big Bets Ahead Of Trump-Xi Meeting; Oil, Metal Prices Firm
Caution prevailed across major markets on Wednesday before a potentially tense meeting between U.S. President Donald Trump and his Chinese counterpart Xi Jinping this week, although metals and oil prices firmed on a hope of better global demand.
$5.5B Private Capital Ready To Invest In Mining
According to a new report by private capital tracker Preqin, overall fundraising for natural resources investment actually declined declined by a fifth in 2016 to the lowest since 2012. Coming off a record 2015, 74 funds raised a total of $60bn in 2016 for investment in natural resources, which includes metals and mining, water, timberland and energy. Private providers of capital include pension funds, sovereign wealth funds, endowments, family offices and others. One of the funds to watch – Electrum Strategic Opportunities – last year invested in two junior mining companies based in the Yukon...