15 Oct 2013
Commodities consolidate lower amidst heightened ambiguity
FXstreet.com (Athens) – Commodity prices are slightly moving downwards on Tuesday, as US uncertainty keeps market participants sidelined.
Oil prices consolidate lower on Tuesday on both sides of Atlantic, as uncertainty heightens as the deadline as of 17th October is approaching. At the time of writing, Crude oil is trading at 101.72 down by 0.52%, while Brent Oil is moving down by 0.68% standing at 110.18. On Monday, U.S. oil prices ended slightly higher as traders bought contracts to cover short positions ahead of a possible deal between U.S. political parties that would end a two-week fight over how to fund the government. On the other hand on Monday, gold rose up from a three-month low hit on Friday as U.S. lawmakers and President Barack Obama remained unable to clinch a deal to reopen the government and avert a looming default. Briefly, spot gold rose 0.4 percent to $1,277.41 an ounce. During the session, gold rose as high as $1,288.88 an ounce. U.S. gold futures for December settled up $8.40 an ounce at $1,276.60, with volume about 40 percent below its 250-day average. Today, gold consolidates lower despite heightened uncertainty. Market participants might consider
that gold is trading in an odd trend shift, but we should also bear in mind that that trading volumes are thin as on Monday markets in US, Japan, Canada and Hong Kong were closed, while today several markets in Asia and Middle East are also on holidays. At the time of writing, gold ignores its safe haven appeal, trading at 1260.94, down almost 1%.
Oil prices consolidate lower on Tuesday on both sides of Atlantic, as uncertainty heightens as the deadline as of 17th October is approaching. At the time of writing, Crude oil is trading at 101.72 down by 0.52%, while Brent Oil is moving down by 0.68% standing at 110.18. On Monday, U.S. oil prices ended slightly higher as traders bought contracts to cover short positions ahead of a possible deal between U.S. political parties that would end a two-week fight over how to fund the government. On the other hand on Monday, gold rose up from a three-month low hit on Friday as U.S. lawmakers and President Barack Obama remained unable to clinch a deal to reopen the government and avert a looming default. Briefly, spot gold rose 0.4 percent to $1,277.41 an ounce. During the session, gold rose as high as $1,288.88 an ounce. U.S. gold futures for December settled up $8.40 an ounce at $1,276.60, with volume about 40 percent below its 250-day average. Today, gold consolidates lower despite heightened uncertainty. Market participants might consider
that gold is trading in an odd trend shift, but we should also bear in mind that that trading volumes are thin as on Monday markets in US, Japan, Canada and Hong Kong were closed, while today several markets in Asia and Middle East are also on holidays. At the time of writing, gold ignores its safe haven appeal, trading at 1260.94, down almost 1%.