Technology Busines Review presents an overview of the crude oil, natural gas, palm oil, and gold markets.

Low demand leaves OPEC quotas shaky

In line with predictions by the International Energy Agency in Paris, which anticipates a decline of up to 2.56 million barrels a day in 2009, 78% of OPEC memebers have trimmed their production count to 3.2 million barrels a day to support prices. Oil prices reached US$147 per barrel in July 2008 and fell to US$32 per barrel in February 2009. As of May 20th, prices reached US$59 per barrel.

Gold demand plummets on Q1 high prices

Based on figures from the World Gold Council, jewellery demand in India, the world’s biggest market for gold, was at 34.7 tonnes at the end of Q1, the lowest quarterly demand in two decades while retail investments sank into the negative region of -17 tonnes owing to demand for gold declining by an alarming 83% to 17.7 tonnes from a year ago on the 21st of May 2009. Globally the demand for gold rose by 38% in Q1 of 2009 as investors picked up the commodity driven by fears of inflation and market volatility, the total value trade increased 36% recorded at an estimated US$29.7b. Bars and coins were the major source of growth in Q1, reaching 596 tonnes, a 248% increase from a year ago.

Surge for crude palm oil

Due to falling output in mainland production centres that are in Malaysia, Indonesia, Argentina and Ukraine, prices of crude palm oil (CPO) are predicted to surge 20% to surpass RM3,000 in 2009. In a paper presented by Godrej International, 2009 Malaysian CPO production was at 17.5 million tonnes, 250,000 tonnes less than 2008, while Indonesia’s yield was 21.5 million tonnes, below original estimates of 22 million tonnes.

Supply gain provides steady outlook for natural gas

Manufacturers are breathing a sigh of relief as natural gas prices have fallen from a record high of US$13.642 per 1,000 cubic feet in mid-2008 to settle at around US$4.5 as demand has dropped owing to economic concerns. With prices dropping to their lowest since 2004 and expected to fall further, it is no surprise that producers are beginning to worry.

Technology Business Review presents a monthly summary for six emerging indexes - the STI, the KLCI, the ASX, the SSE, the SET, and the Sensex - as we compare and contrast the performances of each bourse for the past month.

Yen to US$
Close (as of 21st May) 95.0113
30-day low - 87.84 (17/12/2008)
30-day high - 100.785 (06/04/2009)

Technology Business Review presents a monthly summary for six major indexes - the NYSE, the Dax 30, the Nikkei 225, the Hang Seng, the Nasdaq, and the FTSE 100 - as we compare and contrast the performances of each bourse for the past month.