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.

Free Trading Guides
EUR/USD
Bullish
GBP/USD
Bullish
USD/JPY
Mixed
Gold
Mixed
Oil - US Crude
Bullish
Bitcoin
Mixed
More View more
Real Time News
  • Join @ddubrovskyFX 's #webinar at 8:00 PM ET/1:00 AM GMT to find out what information you can gain from knowing what other traders are buying or selling. Register here: https://t.co/Bb3CTCTm44 https://t.co/I87tE1mEdw
  • #GBP, #SEK and the #NOK are expected to be the most active G10 currencies vs #USD with 1-week implied volatilities at 18.27, 9.45 and 9.13 respectively
  • RT @JPMorganAM: This week’s report outlines the positive environment for risk assets over November, and the team’s recent move in equity po…
  • US Dollar Volatility & Fed Meetings Average change in major forex pairs 24-hours after FOMC decision is released: $EURUSD +/- 87 pips $GBPUSD +/- 95 pips $USDJPY +/- 64 pips $USDCAD +/- 67 pips $USDCHF +/- 69 pips $AUDUSD +/- 69 pips Full Analysis: https://www.dailyfx.com/forex/fundamental/us_dollar_index/special_reports/2019/12/10/fed-meeting-preview-us-dollar-volatile-around-fomc-decisions.html https://t.co/IF20QMriOP
  • Heads Up:🇳🇿 NZD New Zealand Half-Year Fiscal, Economic Update due at 00:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2019-12-11
  • RT @economics: Powell steers for economic soft landing thwarted twice by Trump https://t.co/acNsqxTPDi https://t.co/aJVYgrwEfx
  • 🇦🇺 AUD Westpac Consumer Confidence (DEC), Actual: -1.9% Expected: N/A Previous: 4.5% https://www.dailyfx.com/economic-calendar#2019-12-10
  • Heads Up:🇦🇺 AUD Westpac Consumer Confidence (DEC) due at 23:30 GMT (15min), Actual: N/A Expected: N/A Previous: 4.5% https://www.dailyfx.com/economic-calendar#2019-12-10
  • $GBPUSD: Cable Drops as Conservative Lead Over Labour Fades - YouGov Poll https://www.dailyfx.com/forex/market_alert/2019/12/10/gbp-usd-british-pound-sterling-uk-election-yougov-poll-brexit-latest.html
  • Certainly a podcast I'm going to be tuning into! https://t.co/56LBcaXLLU
Crude Oil, Gold Prices Rise as Trump Comments Hurt US Dollar

Crude Oil, Gold Prices Rise as Trump Comments Hurt US Dollar

2018-08-21 05:30:00
Ilya Spivak, Sr. Currency Strategist
Share:

CRUDE OIL & GOLD TALKING POINTS:

  • Crude oil, gold prices rise as Trump comments hurt US Dollar
  • Commodities may retreat in pre-positioning for FOMC minutes
  • API inventory flow report to foreshadow official EIA statistics

A pullback in the US Dollar set the trajectory for key commodities on Monday. Crude oil and gold prices rose in tandem as jawboning from Donald Trump amplified the greenback’s retreat, which has been underway since late last week against a backdrop of improving risk appetite.

The US president again expressed displeasure with the Fed’s tightening efforts, saying he intends to “criticize” the central bank if it keeps raising rates. This followed reports that he told donors Powell is disappointing his hopes for a “cheap-money Fed chairman” at a gathering Friday.

COMMODITIES REBOUND MAY STALL, API DATA DUE

Looking ahead, the rebound in commodities prices may stall amid pre-positioning for Wednesday’s release of minutes from Augusts’ FOMC meeting, which produced a decidedly hawkish statement. Bets on a similarly confident tone in the Minutes document may see USD recover some lost ground.

On the data front, the weekly API inventory flow report is due to cross the wires. The outcome will be judged relative to forecasts calling for a 1.08 million barrel drawdown to be reported in official EIA statistics set to cross the wires Wednesday.

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

GOLD TECHNICAL ANALYSIS

Gold prices continued to recover, with a daily close above former support at 1204.59 breaking the bounds of the near-term downtrend and opening the door for another challenge of the 1236.66-40.86 area. Near-term support remains at 1160.37, the August 16 low.

Crude Oil, Gold Prices Rise as Trump Comments Hurt US Dollar

CRUDE OIL TECHNICAL ANALYSIS

Crude oil prices are still oscillating in familiar territory above support in the 63.96-64.26 area. A break below that on a daily closing basis targets 61.84 next. Alternatively, a move back above trend line support-turned-resistance at 68.65 paves the way for a retest of the 69.89-70.41 zone.

Crude Oil, Gold Prices Rise as Trump Comments Hurt US Dollar

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

News & Analysis at your fingertips.