WTI Trades Near Three-Month High on Crude Supplies

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West Texas Intermediate traded near the highest price in three months as government data showed crude inventories dropped for a second week in the U.S., the world��s biggest oil consumer. Brent rose in London.

Futures were little changed in New York after advancing 0.1 percent yesterday. Crude stockpiles fell by 2.6 million barrels to 386.9 million last week while gasoline supplies gained, the Energy Information Administration reported. OPEC agreed to maintain its production target at 30 million barrels a day, a widely anticipated decision that left the group��s output below projected demand for the rest of the year.

WTI for July delivery was at $104.63 a barrel in electronic trading on the New York Mercantile Exchange, up 23 cents, at 12:17 p.m. Sydney time. The contract settled at $104.41 on June 9, the highest close since March 3. The volume of all futures traded was about 26 percent below the 100-day average. Prices have advanced 6.3 percent this year.

Brent for July settlement rose as much as 44 cents, or 0.4 percent, to $110.39 a barrel on the London-based ICE Futures Europe exchange. The contract expires tomorrow. The European benchmark oil traded at a $5.74 premium to WTI. The gap widened for the first time in four days yesterday to close at $5.55.

U.S. gasoline stockpiles expanded by 1.7 million barrels to 213.5 million in the week ended June 6, according to the EIA, the Energy Department��s statistical arm. A median 1 million gain was estimated in a Bloomberg News survey of 11 analysts.

Source : Bloomberg

Gold Holds Near Two-Week High as Palladium ETPs Expand to Record

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Gold held near the highest level in two weeks as a rally in equities faltered, boosting demand for alternative investments. Assets in palladium-backed exchange-traded products expanded to a record.

Gold for immediate delivery traded at $1,260.35 an ounce by 9:26 a.m. in Singapore from $1,261.07 yesterday, according to Bloomberg generic pricing. The metal yesterday climbed to $1,265.32, the highest level since May 28, as the Dow Jones Industrial Average halted a five-day advance after the World Bank cut its forecast for global growth.

The Washington-based lender said in a June 10 report that the world economy will expand 2.8 percent this year, compared with a January projection of 3.2 percent, amid slower growth in the U.S., China and Russia. In China, the largest gold consumer, volumes for the benchmark spot contract in Shanghai rose to a two-week high of 15,176 kilograms yesterday.

Bullion sank 28 percent in 2013 to end a 12-year bull run on speculation the Fed will trim asset purchases used to fuel growth as the economy recovers. Data today may show U.S. retail sales rose in May. The central bank has made four cuts since January and next meets June 17-18.

Gold for August delivery traded at $1,260.40 an ounce on the Comex in New York from $1,261.20 yesterday.

Palladium for immediate delivery retreated 0.2 percent to $859.25 an ounce after advancing to $864 yesterday, the highest level since February 2001. Holdings in ETPs backed by the metal rose to an all-time high of 91.93 metric tons yesterday, according to data compiled by Bloomberg.

Platinum lost 0.6 percent to $1,474.19 an ounce after climbing to $1,487 yesterday, the highest level since May 23. The union on strike at the world��s biggest platinum producers in South Africa, which ranks second in palladium production, is consulting its members after the latest effort to break the four-month deadlock ended in failure and without any plans for further negotiations.

Silver fell 0.1 percent to $19.1818 an ounce.

Source : Bloomberg

Gold logs third session climb, holds above $1,260

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SAN FRANCISCO �� Gold futures settled higher for a third session in a row Wednesday, modestly extending a rise above $1,260 an ounce as optimism over global growth prospects took a hit and equities gave back some gains from their record run.

Gold for August delivery rose $1.10, or 0.1%, to settle at $1,261.20 an ounce on the Comex division of the New York Mercantile Exchange. Prices, which marked a fresh two-week closing high, gained roughly 0.6% over the past two trading sessions.

July silver settled little changed at $19.17 an ounce.

Source : MarketWatch

Gold Set for Longest Rally Since April on Economic Haven Demand

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Gold futures headed for the longest rally in six weeks after the World Bank cut its forecast for global economic growth, boosting demand for the metal as a haven.

The Washington-based lender estimates the global economy will expand 2.8 percent this year, down from a January projection of 3.2 percent. The bank reduced outlooks for the U.S., China, Russia, India and Brazil. Gold rose to a six-month high in March as tension in Ukraine escalated and concern mounted that U.S. growth was stalling.

The precious metal slumped 28 percent last year, ending a 12-year rally, as equities surged and on expectations that the Federal Reserve would slow the pace of U.S. monetary stimulus as the economy improved. Last week, the European Central Bank became the first major central bank to take one of its main rates negative.

Gold futures for August delivery rose 0.2 percent to $1,262.40 an ounce at 9:56 a.m. on the Comex in New York, heading for a third straight gain and the longest rally since April 25. Trading was 45 percent below the average for the past 100 days for this time, according to data compiled by Bloomberg.

Source : Bloomberg