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AVJ, BBG, KMD, MYR, NAB, PSQ,

AAP

2012-11-28

A summary of trading in key commodities markets overseas:

ENERGY

Oil prices have steadied, trading within a narrow range after eurozone ministers and the International Monetary Fund (IMF) clinched a deal overnight to release fresh loans to debt-plagued Greece.

Brent North Sea crude for delivery in January eased 52 US cents to $US110.40 a barrel in early evening trade in London.

New York's main contract, light sweet crude for January or West Texas Intermediate (WTI), added nine US cents to $US87.83 per barrel.

PRECIOUS METALS

Gold futures fell as pressure from a stronger US dollar dissuaded investors from seeking an alternative to paper currency and eclipsed the brief relief traders felt after Greece struck a deal to qualify for its next bailout payment.

The most actively traded contract, for December delivery, on Tuesday was recently down $US2.10, or 0.1 per cent, at $US1,747.50 a troy ounce on the Comex division of the New York Mercantile Exchange.

Euro-zone finance ministers and the International Monetary Fund (IMF) struck a deal to cut Greece's debt to below 124 per cent of gross domestic product (GDP) by 2020. The accord paves the way for Greece to receive the next installment of rescue financing.

Gold futures initially rallied on the news, which also bolstered the euro, but the elation was cut short as market participants remain sceptical that the latest efforts will be enough to keep Greece on course.

BASE METALS

Base metals on the London Metal Exchange (LME) closed in positive territory with technical buying interest seen to be keeping prices elevated throughout the session.

At the close of open-outcry trading on Tuesday copper, which had wavered the most of the metals, clung to gains, up 0.3 per cent on the day at $US7,806.50 a metric ton. Analysts tipped $US7,850/ton as key resistance for copper to overcome in order to pave the way for a leg higher.

Nickel was the standout performer, rising 3.0 per cent on Monday's settlement to close at $US16,945/ton, while aluminium prices also rallied, surpassing $US2,020/ton for the first time since mid-October.