Commodities

The commodity lacks firm direction after a strong weekly start, as markets contemplate IEA’s upgraded demand outlook and below-expectations economic data from China

The commodity made a strong start to the week, but erases those gains on soft inflation data from China that cast doubts over the strength of its recovery and an increase in US stockpiles, as banking fears persist

XAU/USD set new record highs last week, as the Fed’s pause hint weighed on the greenback and steadies off those levels, as markets brace for another inflation update from the US

The commodity slumped to new year lows last week, but bounced back as demand fears ease due to the Fed’s pause hint, strong US PMI’s and jobs report, as well as China’s holiday traveling, although headwinds persist

Gold prices are being propelled towards record highs by three key factors: economic uncertainty, falling bond yields, and a weaker US dollar. This year, central bank buying has further fuelled the rally. The flight to safety among investors has also contributed to increased demand for gold. Other precious metals, such as silver, have rallied even more recently. Falling bond yields, a weaker US dollar, and other signs of a softening…

The US Fed hiked rates again on Wednesday, but opened the door to a hold, helping Copper prices, as markets digest prospect of economic slowdown

The commodity halted its recent relief-rally with its first losing week since the failure of the Silicon Valley Bank and the ensuing banking turmoil, breaching key technical levels

China’s recovery maintains its momentum according to the latest data from earlier in the week, but oil prices slide as markets digest persistent inflation, prospects of recession and monetary policy outlook

The US Energy Information Administration has raised its forecasts for 2023 and 2024. It expects Brent to average $85.01/barrel in 2023 and $81.21/barrel for 2025. These are increases in forecast of 2.5% and 5% respectively. Expectation for West Texas Intermediate are similar.

Gold has breached the psychological $2,000 level and has an underlying positive momentum. The precious metal was up over 7% in March with its all-time high of 2,074 now in sight. It’s appreciated over 25% since its November 2021 low.

The commodity stays on the front foot after Monday’s jump, which was sparked by the surprise oil production cuts announced on Sunday by a series of OPEC+ countries