Crude oil
On Tuesday, the oil futures closed at one-month low as the growth opportunity of oil delivery caused the oil futures quotations decline from high levels reached recently.
According to the trading results, the December sweet crude oil futures ticked down by 1.54USD or by 2% to 76.02 USD per barrel, the lowest closing level since October 14. At present moment, the oil prices are fixed at the lower borderline of the trading diapason for 75-80 USD per barrel, observed more than one month. Brent oil futures closed with downward movement by 94 cents at the level of 76.52 USD per barrel.
Producers headed the sales, the petroleum refinery plants and other “commercial” oil consumers, which collided the overstock problem and are afraid of that the oil prices boost will lead to the bigger increase of oil stocks.
During the last four sessions traders pushed down the nearest futures contracts price signaling that oil stocks exceed demand and there is no need in oil in short-term outlook.
Even without that, the pessimistic outlooks took a turn for the worse when the US Commerce Department revised the GDP for the Q3 to 2.8%, while as it was announced earlier the GDP grew up by 3.5% in the Q3.
Gold
On Tuesday, gold futures closed almost without changes as the US dollar, at least, at the moment of the face-to-face gold session conclusion.
Gold futures were trading stable after they reached the record high levels the day before mainly due to the US dollar further decline. However, the other precious metals prices fell. Analysts mostly colligate it with traders’ sales in order to fix the profit ahead Thanksgiving Day and the end of the month.
The December gold futures quotations rose by 1.10 USD to 1165.80 USD per ounce at COMEX. Gold was trading better than other metals, probably, because of it is still in demand of investors during descent, even at that day when the dollar can trade with a little advance.
Also it was marked at the market that investors’ gold demand during its price rising remained high on Monday. Meanwhile, SPDR Gold Shares gold volume, the world largest trading index fund backed by gold, went up by 3.96 metric tons to 1121.46.
Best regards,
Analyst: Vladimir Donin
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