In the first two weeks of December, gold had a high-low swing of 8%. Having started the month with an extraordinary rally which took it to a fresh all-time high just below $2,150, it subsequently slumped back below $1,980. Since then it has managed to rally steadily, taking it above the key $2,000/2,020 area quite comfortably. Like most risk assets, gold got a...
Last Wednesday, front-month WTI briefly dipped below $68 to hit its lowest level since June this year. This meant that crude had slipped deeper into a band of support marked by $67.50 at the low end. This has held ever since, and crude has managed to rally off here, although not in the spectacular fashion that we saw in equities, precious metals and bonds...
We have witnessed/experienced an outstanding rally since the end of October which has seen the major US stock indices post a seven-week winning streak. This is extending into the final trading week before Christmas, which means we could also see a “Santa Rally” if the rally continues into the first week of 2025.
The Dow Jones Industrial Average is now trading at...
Ahead of last night’s announcement from the Fed, front-month WTI briefly dipped below $68 to hit its lowest level since June this year. This also saw crude slip deeper into a band of support marked by a lower level around $67.50. This continues to hold, and yesterday we saw a sharp bounce from here. All dollar-denominated commodities got a lift from the sell-off...
Gold and silver sold off sharply on Friday afternoon following the release of US jobs data. As noted above, Non-Farm Payrolls came in above forecasts, while the Unemployment Rate dropped back unexpectedly, and Average Hourly Earnings were stronger than predicted. Overall, this was enough to temper investor sentiment towards rate cuts next year, as the US economy...
What a week it’s been for gold and silver. Around two weeks ago, gold finally burst above a band of resistance between $2,000 and $2,010. It came back and tested that upper level on Tuesday, before bouncing. But this level was more severely tested on Friday afternoon, and we’re now seeing a break under $2,000. Gold and silver plunged in the aftermath of...
The sell-off in crude oil continued on Wednesday with front-month WTI breaking below $70 to hit its lowest level in over five months. That took the losses from the September high to 26% - pushing even further into unofficial ‘correction’ territory. The losses came even after US inventory data showed a bigger-than-expected drawdown which should have offered some...
Gold, and silver, have been on a stomach-churning rollercoaster ride since they broke above significant resistance levels around two weeks ago. For gold, this was the area between $2,000 and $2,010 which seemed to be an insurmountable barrier for the bulls. But finally the buyers built up enough strength to batter through here. Gold went on to make a record...
Crude prices have steadied this morning with front-month WTI managing to hold above initial support around $73. Oil has fallen steadily since last Thursday afternoon when it was closing in on $80 per barrel. The catalyst for the move lower was the delayed OPEC+ production cut announcement which underwhelmed market participants. The group plans an overall reduction...
There was an extraordinary overnight move in precious metals which saw both gold and silver soar. From Friday’s close to the overnight high, silver added 1.7% which was impressive enough. But gold rallied 3.5% between the same two points before both metals gave back all these gains and fell into negative territory for the day. There are several factors which can...
Thursday saw an interesting end-of-month trading session with the old school Dow closing 1.5% higher, and the tech-heavy NASDAQ 100 down 0.2%. We’re seeing a similar situation unfold today with the Dow adding to yesterday’s gains, and the NASDAQ losing more ground. The Dow is now trading at levels last reached in January 2022, easily surpassing the highs hit in...
The much-anticipated OPEC+ ministers’ meeting has taken place and the announcement has been made. The oil producer’s group has agreed to cuts approaching 2 million barrels a day (bpd) for early next year. This means that Saudi Arabia will roll over its current 1 million bpd output cut which has been in place since July, and others in the group will also step up to...
Gold surged higher yesterday, and this morning it broke above $2,050 to hit its highest level since early May. This was just after gold made a fresh all-time intra-day high, just above $2,080. It’s now possible that gold is on course to take out its record closing high of $2,070 from August 2020.
This rally in precious metals has been a long time coming. It...
It feels as if the equity markets have lost some upside momentum as we approach the end of the month. But the big question is whether this is simply due to the quiet holiday trade we saw last week, or if investors are now unwilling to take on more long side exposure after such a strong month-long rally. Looking at the numbers since the close on Friday 27th...
On the daily chart, it looks as if WTI crude oil could go either way currently. It also looks as if the catalyst for the next move will be the OPEC+ ministerial meeting which was postponed to this Thursday from Sunday.
But a quick peek at the 4-hour chart (see above) shows definite positive divergence between price and the MACD. Prices have been trending lower...
Like other markets, trade in gold has been subdued and is likely to remain so as many US participants extend yesterday’s Thanksgiving holiday into the weekend. There has been little change in geopolitical events and no catalyst to move gold either up or down. So it continues to consolidate just below the key $2,000/2,010 area of resistance. We have seen a...
US stock exchanges are closed today and are only partially open tomorrow due to the Thanksgiving holiday. Bad news for turkeys of course, and also potentially risky for investors as the futures markets are open for two truncated sessions. Lower trading volumes mean less liquidity, which can lead to greater volatility, so traders can’t switch off completely.
US...
It’s hard to remember when sentiment was this negative towards crude oil. Yet front-month WTI was perilously close to trading in triple digits less than two months’ ago and all the commentary was around how much further it would rise once it broke above $100. But since then, the decline has been almost continuous, save a small bounce in mid-October. On Thursday it...
