COMMODITY BRIEFS

COMMODITY BRIEFS

GOLD SALES WEIGH

ON PRECIOUS METALSPrecious metals futures dropped sharply in New York, following Japanese and Middle East gold sales.

Golf futures on Commodity Exchange Inc. set new contract lows and were just above 4-year lows of $350 an ounce.

The August 1990 contact fell to a low of $355.70. Spot June was of off $2.80 to $354.60 an ounce at the close.

LONDON FOX TO TRADE

METALS INDEX JUNE 21

LONDON - Trading ofMetallgesellschaft's MGMI futures market is to start on the London Futures and Options Exchange on Jun 21, the exchange said Thursday.

The MGMI is a cash settled base metals index. It is made up of the six metals traded on the London Metal Exchange: aluminum, copper, lead, nickel, tin and lead.

Trading hours for the new contract will be from 7:00 a.m. to 7:00 p.m. Greenwich Mean Time continuously.

COCOA BOUND FOR USSR

OFF-LOADED AT AMSTERDAM

LONDON - Around 4,000 to 5,000 metric tons of Ivory Coast cocoa originally scheduled for shipment to the Soviet Union by French trade house Sucre et Denrees has been off-loaded at Amsterdam, to be sold.

The shipment was diverted as a consequence of the Soviet request for extended credit terms, sources said.

Some market observers interpreted the news as indicating the Soviet Union does not want all the cocoa it contracted to buy and was selling it back. However, sources said it was more likely the trade house concerned had not granted extended credit and the U.S.S.R. was therefore unable to pay for the cocoa.

Soviet trade officials in London told Knight-Ridder Financial News last week that shipments already received would be paid for eventually but extended credit would be requested for shipments on the water or for the rest of the year.