Crude oil.
Crude oil futures quotations exceeded the mark of 78 USD per barrel on Monday\'s trading, garnered support due to positive US economic indicators, but still there are concerns about steady economic recovery.
According to the trading results of the New York Commodity Exchange the December sweet crude oil futures rose by 1.13 USD or by 1.5% to 78.13 USD per barrel. Brent oil futures increased by 1.35 USD or 1.8% to 76.55 USD per barrel.
Manufacturing sector and the US real estate market data, released at the beginning of the North American session, became better analyst’s forecasts and strengthened the optimism concerning the economy, weakened at the end of the last week, this fact instigated oil price drop by 3.7%.
However some concerns about stable recovery of American economy still exist, especially because of rising activity at the US housing market thanks to no small part to tax concession for people, who buy house for the first time, which remains in force till November. There are also fears about large oil stocks all over the world, especially on the back of the oil production fast growth and weak consumption.
Stock indices and oil prices declined because of it: during the deals crude oil futures quotations dropped to intraday low of 76.56 USD per barrel, the lowest level since October, 15.
Gold.
Gold futures closed deals on Monday with good increase in reply to the US dollar fall. At the same time the futures lost the part of earned positions during the trading, as dollar managed to rebound and stock indices were down from levels, reached before.
According to the trading results of COMEX the December gold futures quotations rose by 13.60 USD to 1054 USD per ounce. During the deals gold quotations reached maximum of 1063.40 USD, the highest level since October, 23.
The market participants gained advantage of futures quotations decline to support level of the last week as opportunity to buy. The December gold futures stood at 1026.90 USD above intraday low, reached at the last week, that is why level 1025 is the support level.
At the early deals on Monday the US dollar decreased and most raw commodities prices rose, what also furthered gold purchases. Totally, the US currency losses were small. However gold purchases were not just due to the US dollar weakness, but also to the expectations that the dollar will drop further.
Best regards,
Analyst: V. Donin.
