NEW YORK — Expectations that interest rates will remain low lifted commodities prices Wednesday.
Federal Reserve Chairman Ben Bernanke told the House Financial Services Committee that low rates are needed to help support a rebound in the economy by stimulating lending.
Bernanke's upbeat tone raised economic hopes. The ICE Futures US dollar index, which measures the dollar against a basket of currencies, fell. That helped lift prices of grains as well as oil.
Jeffrey Friedman, senior market strategist at futures brokerage Lind-Waldock in Chicago, said: "What people took away was 'Hey, we still have cheap money for a while.' "
May wheat rose 8 cents to $5.1375 per bushel. Corn for May delivery rose 7.5 cents to $3.8625 a bushel. Soybeans for May delivery rose 3.5 cents to $9.63 a bushel.
Light, sweet crude for April delivery rose $1.14 to $80 per barrel. The advance came even as the Energy Information Administration said that supplies remain well above average.
Heating oil prices for March delivery gained 0.98 cent to $2.0421 per gallon. Gasoline rose 3.33 cents to $2.0989 a gallon. Natural gas advanced 3.8 cents to $4.816 per 1,000 cubic feet.
Gold for April delivery fell $11 to $1,092.20 an ounce. Silver for May delivery rose 4.7 cents to $15.96 an ounce. Copper for May delivery rose 2 cents to $3.2535 per pound. Platinum for March delivery fell $7.80 to $1,499.40. March palladium fell $11.30 to $422.70 an ounce.
