Commodities Report: July 6, 2010: Oil Gains as Global Equities Rise, Gold Up on Greenback’s Decline

Posted by admin on July 16th, 2010 filed in Gold against Oil

Oil is on the rise in morning trade as global equities prices gain and the dollar slipped against major currencies. Speculation abounds, meanwhile, that BP plc (BP) is looking for support from private equity funds to stave off takeover bids.

Gold too is up as the greenback slipped and investors came in to buy up the yellow metal on dips. Base metals are up as the appetite to take on risks is seen to signal an improvement in global economic outlook.

At 0800 ET, Brent crude is up 1.5% at $72.55 a barrel, while light sweet crude is up 1.0% at $72.84 a barrel, and natural gas is up 2.8% at $4.82 a million British thermal units.

Gold is up 0.3% at $1,210.70 an ounce, and silver is up 0.8% at $17.86 an ounce, while copper is up 1.7% at $2.97 a pound.

There is growing speculation that BP is looking to private funds in Qatar, Kuwait, Abu Dhabi and Singapore to keep away hostile takeover bids from rivals including ExxonMobil (XOM) and Total (TOT).

In the mining sector, BHP Billiton (BHP) is up as Evolution Securities raised the world’s biggest mining company to a buy from add, while Independent Reserach too raised the company to a buy from hold.

Duration : 0:1:44

Technorati Tags: (XOM), BHP, Billiton, bp, Crude, ExxonMobil, gold, News, oil, stock, TOT, Total, Trading