* Oil sinks with Wall St stocks and as dollar strengthens
* Arabica coffee falls on weak technicals, more losses seen
By Barani Krishnan
NEW YORK, Feb 4 Crude futures fell nearly 2
percent on Monday, sinking along with Wall Street stock prices
as traders cashed in profits from a three-week rally in oil,
which fed a broad decline across commodity markets.
Arabica coffee and cotton fell nearly 2
percent each, as a stronger dollar weighed on demand for
commodities priced in the U.S. currency.
Soybeans bucked the broadly lower trend on the
agricultural side, hitting a seven-week high. Copper and
gold also edged higher, while platinum
The 19-commodity Thomson Reuters-Jefferies CRB index
posted a 0.7 percent loss on the day -- its sharpest
daily decline in nearly two months.
SEAWAY PIPELINE, PROFIT-TAKING HIT OIL
U.S. crude dropped $1.70 to a low of $96.07 per
barrel, after rising for eight consecutive weeks, the longest
such winning streak since July-August 2004. It settled at
U.S. crude remained under pressure from Friday due to
operating restrictions on the Seaway pipeline in Texas, which
traders fear will keep a glut of oil near the delivery point for
West Texas Intermediate futures from draining.
London's Brent crude fell to a low of $115.32 per
barrel before recovering slightly to settle at $115.60. Brent
had risen for three straight weeks.
Arabica coffee futures in New York fell to a one-month low,
with the key March contract finishing down 3.60 cents, or
2.4 percent, at $1.4435 per lb, weighed on partly by a firmer
dollar. Total volume surged above 36,000 lots, the
highest in two weeks, preliminary Thomson Reuters data showed.
Dealers said that based on historical price charts the
technical outlook was bearish with potential for further losses.
"The market is weak, it's gone back into the range it's been
trading since December," said a London-based broker.
Robusta coffee futures in London jumped for the third
straight session, climbing more than 5 percent over three days
to the highest levels in more than three months before falling
back. May robustas closed down $8, or 0.4 percent, at
$2,047 a tonne after peaking at $2,074, the highest level for
the second month since Oct. 22, 2012.