Following recent losses we experienced a quieter morning with May’20 holding a tight band either side of last night’s 13.81 closing value. Given the lower levels we are still not seeing a great deal of consumer buying interest and in the thin conditions we eventually started to look lower once again and spent the first part of the afternoon trading down into the lower 13.60’s. This flat price weakness occurred despite a firmer spread picture, May/July trading from flat money to a 0.05 point premium, and this may provide some encouragement to bulls following the recent losses. News of the fed rate cut broke mid-afternoon and gave the macro a shot in the arm with May rallying from session lows to be back at 13.87, however sentiment cannot be quickly reversed by such actions and we soon retreated back into the range once more. We continued in this way until the close with May recording minor losses at 13.76. Overall we were amongst the poorer performing commodities again today, and with equities continuing to struggle and other commodities moving away from their daily highs this afternoon the recent action seems set to continue.
