Crude oil, metals prices gain on positive sentiment

Crude oil prices were higher again Friday as news and data looked mostly optimistic in relation to recovery from the recession.

European and US equities markets were higher, the latest news on US home resales was good, and Federal Reserve Chairman Ben Bernanke said at a conference that the US economy should begin growing again soon.

Additionally, the Federal Highway Administration reported that US traffic volume was up 2 percent in June, boosting hopes for demand recovery.

Commerzbank warned, however, that stricter regulation of commodities trading, now being looked at by the Commodity Futures Trading Commission, could push prices lower.

At about an hour before the close of floor trade on the New York Mercantile Exchange, West Texas Intermediate crude for October delivery had added $1.17 to $74.08 per barrel, while at last report Brent crude was 83 cents higher to $74.16 per barrel on the ICE Futures Europe exchange in London.

The price of copper was up Friday on new data from the National Association of Realtors showing that US existing home sales were up 7.2 percent in July, boosting hopes of demand recovery although there were still concerns about demand from China.

September copper added 14 cents to $2.88 per pound in New York trade, while three-month copper was $221 hither to $6,270 per tonne on the London Metal Exchange, helped by the news that existing home sales in the US were up 7.2 percent in July.

Other base metals prices were also higher in London.

Aluminium added $24 to $1,930 per tonne while zinc was up $30 to $1,834 per tonne, lead added $43 to $1,863 per tone, nickel was $425 higher to $19,300, and tin gained $500 to $14,300 per tonne.

October platinum added $17.20 to $1,259.20 per troy ounce on a threatened strike next week in South Africa while September palladium, which like platinum is used in the manufacture of pollution-control devices for cars and trucks, was up $7.90 to $284.50 per troy ounce in midday trade.

December gold was $13 higher to 954.70 per troy ounce and September silver gained 28 cents to $14.16 per troy ounce.

Grains prices were mixed in afternoon trade in Chicago as September corn added a cent to $3.20 per bushel and September soybeans gained 26 cents to $10.25 per bushel but September wheat dropped 9 cents to $4.59 per bushel.

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