News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Bullish
Wall Street
Bearish
Gold
Bearish
GBP/USD
Mixed
USD/JPY
Bullish
More View more
Real Time News
  • The recent surge in the Treasury market has pushed the benchmark 10Y yield back above the S&P 500 dividend yield https://t.co/x28BFkmjNv
  • S&P 500 on the verge of getting separation from March trend-line. Nasdaq 100 below March trend-line, triggering H&S pattern. Get your #equities market update from @PaulRobinsonFX here:https://t.co/quhMgBpoiq https://t.co/n0jtTnVNwl
  • Japanese Gov't recommends 2-week extension of Tokyo virus emergency - BBG $JPY
  • While the rise in yields is weighing on risk trends, carry trade didn't seem to take the hit. In fact, the charge in US yields seems to have far outweighed the de-risking from $USDJPY's perspective: https://t.co/KpOpgopOep
  • Forex Update: As of 21:00, these are your best and worst performers based on the London trading schedule: 🇨🇦CAD: -0.09% 🇬🇧GBP: -0.40% 🇦🇺AUD: -0.69% 🇳🇿NZD: -0.81% 🇯🇵JPY: -0.90% 🇨🇭CHF: -0.97% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/8Tvotykz9y
  • Commodities Update: As of 21:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.33% Gold: -0.69% Silver: -2.64% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/faJTbi16VK
  • AUD/USD now off daily lows, remains much weaker as a result of broad US Dollar strength $AUDUSD https://t.co/OkdKWbepAR
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 93.13%, while traders in GBP/JPY are at opposite extremes with 70.14%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/XXOjh5LmaB
  • Silver price action stalls between Moving Averages. Platinum prices currently confined by Fibonacci Support. Get your market update from @Tams707 here:https://t.co/Nbl8FDmfps https://t.co/VyuZzP8w2q
  • US Markets at the Close $NDX 12464.0 -1.73% $SPX 3768.49 -1.34% $DJI 30924.14 -1.11%
Crude Oil Prices Look Past Trump/Kim Summit, OPEC in Focus

Crude Oil Prices Look Past Trump/Kim Summit, OPEC in Focus

Ilya Spivak, Head Strategist, APAC

CRUDE OIL & GOLD TALKING POINTS:

  • Crude oil prices await clarity on OPEC-led production cut scheme
  • Gold prices might remain rudderless until the FOMC rate decision
  • OPEC, API and EIA reports may to impact of Trump/Kim summit

Commoditypricesdid not stray far from familiar ranges Monday as traders braced for a week packed with top-tier event risk. Crude oil edged up but stopped short of showing directional conviction as traders await guidance on the fate of an OPEC-led production cut scheme.

Russia and Saudi Arabia have voiced support for relaxing output quotas in response to supply disruption in Venezuela and the re-imposition of sanctions on Iran. Other participants in the supply reduction program – such as Iraq, for example – have pushed back against such a move.

A decision may emerge from the upcoming OPEC meeting on June 22 in Vienna. In the meantime, investors will look to soundbites from the sidelines of a World Cup match between Saudi Arabia and Russia this Thursday in Moscow. The leaders of both countries are expected to attend.

As for gold prices, they continued to be locked in place as the US Dollar and Treasury bond yields carve out divergent paths. That puts the yellow metal’s roles as anti-fiat alternative and benchmark non-interest-bearing asset in direct opposition, leaving it rudderless. That may persist until the upcoming Fed rate decision.

OPEC, API AND EIA DATA MAY TOP IMPACT OF TRUMP/KIM SUMMIT

From here, a meeting between US President Trump and North Korea leader Kim Jong-un may offer a bit of a lift to oil prices if signs of a historic breakthrough boost risk appetite. Follow-through may be limited however since any outcome would limited immediate implications for global economic trends.

OPEC’s monthly oil market report is also on tap. Updates of supply and demand forecasts therein may help guide officials’ thinking on output cuts and might prove market-moving. API inventory flow data and an EIA short-term energy market outlook will likewise cross the wires.

See our guide to learn about the long-term forces driving crude oil prices!

GOLD TECHNICAL ANALYSIS

Gold prices remain anchored to support guiding the move higher since December 2016, now at 1295.02. Breaking that on a daily closing basis targets the May 21 low at 1282.27, followed by the 1260.80-66.44 area. Alternatively, a breach of resistance at 1312.39 exposes former support at 1311.34 for a retest.

Gold price chart - daily

CRUDE OIL TECHNICAL ANALYSIS

Crude oil prices are still trying to find clear direction at support guiding the uptrend from June 2017. A break of its lower extremity, now at 65.05, targets the April 6 low 61.84. Alternatively, a push above resistance in the 66.22-67.36 area clears the way for a test of the 68.64-69.53 zone.

Crude oil price chart - daily

COMMODITY TRADING RESOURCES

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To contact Ilya, use the comments section below or @IlyaSpivak on Twitter

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES