Commodities remain king

THE ongoing global commodities boom has been reinvigorated by news the US Federal Reserve wants to maintain its extremely low interest rates for two more years, with copper, nickel and gold spiking accordingly.

London Metal Exchange cash official copper prices soared to $US8577 a tonne overnight.

It is up 4.5% from the end of last week and makes one wonder how long this ongoing rally for the red metal will last.

Meanwhile, LME cash nickel prices have outperformed copper, increasing by 5.5% from last Friday to $21,525/t overnight.

Spot gold is making a comeback and was trading around $US1718.55 an ounce by early afternoon (AEDT), up 3.1% from last Friday.

Singapore Tapis crude has fallen 1.7% from the end of last week to $119.46 a barrel overnight.

But it could be the quiet before the storm, given the recent embargo threats between the European Union and Iran.

After all, any event which puts less oil on the global market will surely result in higher prices at the pump.

Toronto-listed Eaglewood Energy has performed the best among our watchlists, due to successful farm-out transactions to Horizon Oil and Mega Fortune International over its petroleum prospecting licence 259 in Papua New Guinea.

loader
  • NEW: Digital version of PNG Report magazine - View here
  • Porgera: Barrick-PNG talks go on - Read more
  • Follow the companies investing in the PNG market - Read more