* Oil up 1.0 pct after news of Hamas' military chief's
* Soybeans up 1.0 pct as China buys US soy
* Cocoa up 3.0 pct on surprise government dissolution in
By Barani Krishnan
NEW YORK, Nov 14 Crude oil prices rose on
Wednesday for the first time in three days after Israel launched
a major offensive against Palestinian militants in Gaza, and
soybeans rebounded too from the previous session's selloff to
help lead commodity price indexes higher.
Cocoa futures trading on European and U.S. markets posted
their biggest one-day surge in 10 weeks, after the president of
the world's top producer Ivory Coast unexpectedly dissolved the
Gold was another market that posted gains, after
tacking on to the rally in crude oil.
The Thomson Reuters-Jefferies CRB index, a global
indicator for commodity investors, rose by more than 0.5 percent
as 13 of the 19 markets it tracked ended up.
Copper was one of the few commodities that closed
down for the day. Prices of the base metal slipped on worries
that a failure to avoid the U.S. "fiscal cliff" may dampen
demand worries and renewed problems in the European debt crisis.
OIL SURGES ON ISRAELI STRIKES
Crude oil prices settled up about 1.0 percent after news the
Hamas' military chief was killed by an Israeli air strike that
hit his car.
Multiple Israeli attacks also rocked the Gaza Strip,
reinforcing concerns about tensions across the Middle East and
the security of oil supplies from the region.
"There are some ticking time bombs in the Middle East right
now and the Israeli air strikes on Gaza have brought the
tensions in the region back into focus for the oil market," said
Todd Gross, founder of fund management company Hudson Capital
Group LLC in New York.
London's benchmark Brent crude oil settled at
$109.61, up $1.35 on the day and above the 100-day moving
average of $109.50.
U.S. crude rose 94 cents to settle at $86.32 a barrel
in New York, off the session high of $86.65.
SOY RISES AS US EXPORTERS SECURE CHINA DEAL
Soybeans futures closed up in Chicago trading on news of
better export demand from China for U.S. grown-soy.
The U.S. Department of Agriculture reported that private
exporters struck deals to sell 120,000 tonnes of U.S. soybeans
to China, the world's top importer of the oilseed. Exporters
sold 40,000 tonnes of U.S. soybean oil to unknown
Separately, the U.S. National Oilseed Processors
Association, or NOPA, said 153.536 million bushels of soybeans
were crushed in October, well above the 147.713 million expected
by analysts and the 141.179 million crushed a year earlier. It
was the largest monthly figure since January 2010 and the
highest for October since 2009.[ID: nL1E8ME4NC]
"Strong demand is supporting soybean futures, both
domestically and globally," said Karl Setzer, grain solutions
team leader for MaxYield Cooperative.
The most-active second month contract for U.S. soybeans
rose about 1 percent to settle at $14.19 a bushel.
COCOA REBOUNDS ON IVORY COAST NEWS
Cocoa futures rose about 3.0 percent, rebounding from
4-month lows, after Ivory Coast's President Alassane Ouattara
dissolved his government in a surprise move, citing a lack of
solidarity within his coalition cabinet.
Ivory Coast produces around 35 percent of the world's cocoa.
The country has a volatile history and its cocoa industry often
responds to violence and political unrest by trying to secure
cocoa bean supplies.
"Most people have just been fear buying. This was the fuel
on the fire to help traders to start buying just on the idea of
risk," said Hector Galvan, a senior market strategist for RJO
Futures in Chicago.
"They're getting in there and making sure that this surprise
announcement wasn't going to create enough havoc where people
weren't going to be able to get their hands on beans."
Cocoa's second-month futures contract in New York
jumped $70, or 2.9 percent, to settle at $2,457 per tonne. It
fell to $2,322 on Friday, a low since late July.
Second-month cocoa in London jumped 43 pounds, or
2.8 percent, to end at 1,592 pounds per tonne.