A summary of trading in key commodities markets overseas:
ENERGY
Oil prices have slumped, falling to a six-month low under $US90 in New York as the US dollar rallied on eurozone debt tensions.
As the euro dived to a 22-month low, New York’s main contract, West Texas Intermediate crude for delivery in July, slid $US1.95 to $US89.90 a barrel — the lowest level since October.
Brent North Sea crude for July tumbled $US2.85 to $US105.56 a barrel in late London deals.
A stronger US currency makes US dollar-denominated oil more expensive for buyers using the European single currency — denting demand for crude.
Investors shunned risky assets before an informal EU summit and after the former Greek premier warned that Athens might leave the eurozone.
PRECIOUS METALS
Gold futures slumped for a third day as worries about the fallout from a potential Greek exit of the eurozone pushed investors to pile into the US dollar.
The euro sank to its lowest level against the US dollar since July 2010, as investors continued to shed perceived risky assets on the chance that European leaders would be unable to stem the apparent worsening of the euro zone’s debt crisis.
The most actively traded gold contract, for June delivery, on Wednesday fell $US28.20, or 1.8 per cent, to settle at $US1,548.40 a troy ounce on the Comex division of the New York Mercantile Exchange. Futures had traded lower earlier in the day, threatening to end below last week’s 10-month settlement low of $US1,536.60 an ounce.
In other precious metals: July delivery silver closed at $US27.519, down 66.0 US cents; July platinum finished at $US1,414.10, down $US44.30; June palladium ended at $US591.10, down $US24.45.
BASE METALS
Base metals closed firmly in negative territory on the London Metal Exchange (LME) amid widespread concern over Greece’s future in the euro zone.
Flagship three-month copper tumbled on Wednesday 3.0 per cent to $US7,503 a metric ton, its lowest price this year, before closing the open outcry session at $US7,531/ton down 2.7 per cent on the day.
Nickel held up the best of the complex, closing 0.9 per cent lower at $US16,755/ton.
