GOLD: the era of $1 800
Congratulations! Gold has just opened a new era... or, rather, reopened...
Crude prices leap on dipping American fuel inventories and lower production outlook
On Wednesday, crude prices went up more than 1.5%, extending profits from yesterday because the American government downgraded its crude output outlook for 2018. Moreover, fuel inventories edged down.
Brent crude futures gained 1.6%, hitting $48.28 a barrel, while American West Texas Intermediate crude futures showed $45.82 per barrel, rising 1.7%. On Tuesday, both managed to settle 1.4% higher.
Crude prices soared steeply overnight because the Energy Information Agency reduced its forecast for American output in 2018. Meanwhile, API data unveiled another large inventory drawdown.
American crude inventories went down by 8.1 million barrels by July 7, dropping to 495.6 million, as the American Petroleum Institute informed, thus showing that a long-standing fuel supply overhang is actually starting to decrease.
Besides this, the US Energy Information Administration reported that it expected next year’s crude output to ascend to 9.9 million barrels per day from this year’s 9.3 million bpd, which would be a 570,000 bpd leap.
Similar
Gold fell below $1,700
Gold (XAU/USD) is declining for the second day in a row. The reason of such a dynamic is that investors have turned to stocks.
GOLD: approaching $1,800!
The shining metal breaks above $1,760. How soon the 2012 heights may be beaten?
Latest news
What drives the market on August 10?
The market has started the week with a mixed sentiment…
Big day for USD
The US NFP will be published on August 7 at 15:30 MT time.
Main market movements on August 6
The market sentiment is indeed risk-on today. Stocks, riskier currencies and gold are rising amid the waning US dollar.
Deposit with your local payment systems
