EUR 9.11 For Business Accounts Only

Gold flat as geopolitical tensions ease; focus on future Fed path, (AKD Commodities vantage, Nov 17 2022)

GOLD: Gold prices were flat on Thursday as safe-haven demand from latest geopolitical concerns faded, while hopes that the U.S. Federal Reserve would be less aggressive on rate hikes over coming months underpinned the market. Spot gold was mostly unchanged at $1,773.40 per ounce, as of 0103 GMT. U.S. gold futures were little changed at $1,776.20 per ounce. Gold prices hit a three-month peak of $1,786.35 per ounce on Tuesday, after news that Russian missiles killed two people in Poland near the Ukraine border. Data showed U.S. retail sales increased more than expected in October, boosted by purchases of motor vehicles and a range of other goods, suggesting that consumer spending could help to underpin the economy in the fourth quarter.

OIL: Oil prices fell for a second day in early Asian trade on Thursday as concerns over geopolitical tensions eased and rising numbers of Covid-19 cases in China added to demand worries in the world’s largest crude importer. Brent crude  futures dropped by 62 cents, or 0.7%, to $92.24 a barrel by 0110 GMT. U.S. West Texas Intermediate (WTI) crude futures fell 65 cents, or 0.8%, to $84.94 a barrel. Oil prices eased despite a larger-than-expected draw in crude oil stockpiles in the United States, added Teng. Crude stocks in the U.S., the world’s biggest oil consumer, fell by 5.4 million barrels in the week ended Nov. 11 to 435.4 million barrels, the Energy Information Administration said on Wednesday, compared with expectations in a Reuters poll for a 440,000-barrel drop.

US-EQUITIES: Stock futures inched higher Wednesday night as investors responded to a weak outlook from retail chain Target early in the day, and results from Nvidia and Cisco that landed after the market closed. Investors are also anticipating more than half a dozen speakers from the Federal Reserve talking at events around the country Thursday. 

U.S DOLLAR: The euro pulled higher against the dollar on Wednesday as concerns about a missile strike in Poland eased but the dollar gained some support from stronger-than-expected U.S. retail sales data. Tuesday’s U.S. data had suggested last week’s cooler-than-expected consumer price inflation was not a one-off, fueling hopes that the U.S. Federal Reserve can slow aggressive rate hikes that had sent the dollar soaring against the pound, euro and yen this year. The dollar index, which tracks the greenback against six main peers, was recently 0.06% lower at 106.342 after earlier hitting a low of 105.859.