Commodities Fall in Early Trading ( USO, UNG, SLV, GLD, CVC, EGY )

Commodities falls Ahead of Fed (USO, UNG, SLV, GLD, CVC, EGY)Commodities continued to move lower Tuesday after posting losses in the prior session as investors are expecting muted comments from the Fed on the U.S. economy, while projecting less chances of another round of QE.In the metal space, Copper climbed over 1% to one week high at $8,528 a tone, after hitting session high of $8,544.75.Investors are eyeing a U.S. Federal Reserve meeting later today which should provide more hints on the monetary policy that the world's largest economy is going to undertake.​Economists polled by Reuters believed the Fed would come out with a stimulus program despite recent signs of an improving labor market, however cautioned that the size of the measure might be lesser than initially expected.

Earlier in economic data, U.S. retail sales rose at their fastest pace in five months in February with a growth of 1.10% in the latest month.Crude oil turned lower after trading higher overnight and recently was trading down by 0.21% at $106.13 a barrel, after hitting session high of over $107 a barrel. Top exporter Saudi Arabia and other Gulf producers say rising oil markets are not in their control and prices could continue to move higher unless tensions between the West and Iran minimize.Gulf OPEC oil ministers said they would prefer to see oil trading at around $100 a barrel, rather than current levels of $124 that they fear could hurt the global economy and lead to a repeat of a spike and subsequent collapse in oil prices in late 2008.

Natural gas prices continued to slump and hit another new 10-year low of $2.22 per million British thermal units in early activity, fell over 2%. It has been underperforming over the past year due to mismatch of demand-supply with inventories level at multi year highs.In the precious metals space, Gold slid $9 to $1,691 an ounce after falling 0.07% in the prior session. Silver for May delivery surged 5 cents, or 0.20%, to $33.47 an ounce. April platinum fell marginally at $1,695.30 an ounce, while sister metal palladium for June delivery declined $2.05, or 0.3%, to $702.25 an ounce.United States Oil Fund LP (ETF)(NYSEARCA:USO) fell 0.61% to $40.45, United States Natural Gas Fund, LP(NYSEARCA:UNG) lost 1.17% to $17.69, SPDR Gold Trust (ETF)(NYSEARCA:GLD) lost 0.55% to $164.10 and iShares Silver Trust (ETF)(NYSEARCA:SLV) fell 0.60% to $32.45.Stocks In NewsChevron Corporation(NYSE:CVX) said that the company is targeting to achieve its 20% production growth target by 2017 after 2011. CVX affirms its view of FY 2012 capex of $32.7B, says early Marcellus well results exceed expectations, and its Gorgon LNG project is now 40% complete.VAALCO Energy, Inc.(NYSE:EGY) shares surged 7.50% after the company reported better than estimated fourth quarter revenue, although profit came below estimates. The company earned 15 cents on revenue of $67.4 million.